Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously said that ‘Volatility is far from synonymous with risk.’ It’s only natural to consider a company’s balance sheet when you examine how risky it is, since debt is often involved when a business collapses. We note that System1, Inc. (NYSE:SST) does have debt on its balance sheet. But the real question is whether this debt is making the company risky.

When Is Debt A…