Strong companies may see the current pandemic as an opportunity to fortify their balance sheets and other assets, according to the AICPA’s FAQs on Valuation Considerations When Valuing Distressed or Impaired Businesses. “The COVID-19 pandemic may have only short-term implications and strong companies may emerge stronger, while competitors with ‘heavy’ debt obligations may need to close and/or liquidate assets,” the document states. It quotes Professor Aswath Damadoran (New York University Stern School of Business), who points out: “I think it still makes sense to look at growth, profitability and reinvesting, pre-crisis, to get a sense of how much punishment companies can take. In businesses that already had anemic revenue growth, low margins and poor investment efficiency, the effects of the crisis will be far more devastating than in businesses with higher growth, margins and efficient investment.” Josh Shilts (Shilts CPA), with contributions from Maureen Rutecki (EFPR Group) and Steve York (Stern Brothers Valuation Advisors), wrote the FAQs.