I have said many times that this is my favorite chart in a S-1. It essentially gives you clues about where the best places are to go hunting as a detective. https://www.sec.gov/Archives/edgar/data/1786352/000119312519293348/d710902ds1.htm … It is only a starting point, but it is a very good one. Do you know what business this is?
What's the gross margin?
Are R&D, G&A and sales & marketing in line with comparable businesses?
What are the trends for these metrics?
What do these numbers reveal about underlying unit economics?
Investing isn't easy. You need to be a detective to find the data you need.
Is R&D, G&A and sales & marketing all being 27% in line with comparable businesses?
Are they on the high or the low side?
How are they likely to change as the business scales?
Clue: The Rule of 40 (R40) has nothing to do with 40 fluid ounces of malt liquor!
25iQ: This article talks about http://bill.com 's business being unprofitable: https://techcrunch.com/2019/12/12/bill-coms-ipo-pricing-is-good-news-for-unprofitable-startups/ …
"The offering makes it plain that not all loss-making companies are equal."
Is profit or free cash flow more important in this case?
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