Stub
Stock in a company that is over-leveraged as a result of recapitalization.

Investopedia Says:
Stub stock is very speculative and risky. Stub stock's advantage over junk bonds is that it has unlimited potential if the company turns things around.

Related Terms:
Debt/Equity Ratio
Junk Bond
Leveraged Recapitalization
Recapitalization
Risk Arbitrage

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