Not All Gross Margin Is The Same - AVC

I wrote a blog post in September of last year arguing that gross margins and operating margins really matter when valuing companies. I argued that “software companies with software margins&#8...

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Not All Gross Margin Is The Same - AVC

Source: AVC

I wrote a blog post in September of last year arguing that gross margins and operating margins really matter when valuing companies. I argued that “software companies with software margins” are better businesses than tech companies that are not really software companies but a tech-enabled version of some other business. But gross margins, in particular, […]