Do not invest in loss making companies as USA market has fears of recession in 2023

Do not invest in loss making companies as USA market has fears of recession in 2023.

As per data we are having there is no probability of any recession in 2022 in USA.

Even in other countries also do not invest in loss making companies as there will be more selling pressure in loss making companies in a falling market.

When some good stocks tumble to good level, what investment companies or fund companies will do is they will sell their stocks in loss making companies to take some position in good stocks making decent profits.