Why Companies Are Blowing Their Cash Reserves | Logically Answered

Why Companies Are Blowing Their Cash Reserves | Logically Answered

Published: September 10, 2026

Duration: 17:53

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Companies have been blowing their cash reserves. At first glance, it’s easy to assume that this is just because companies are trying to protect against high inflation but there’s actually a much more deeprooted reason. In fact, many of the top companies have been reducing their cash reserves well before inflation took hold. It turns out that holding too much cash is an ominous sign for companies. Studies have shown that there is an inve...