When the Covid-19 pandemic hit, a record number of companies, many of which had survived for more than 50 or even 100 years, had no other option but to file for bankruptcy. Recent trends don’t bode well for midsize companies that are the bedrock of any nation’s economy.
We used a database approach to show the current plight of midsize companies and examined the recent period of 2000 to 2019, culminating in the pandemic year 2020. We defined midsize companies as those in the middle 40% of all companies listed on the U.S. stock exchanges by market value and identified them on an annual basis based on their market value at the end of previous fiscal year. (The top 30% and the bottom 30% are classified as big and small, respectively.)
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