[omarhaneef]

The article quotes Ben Thompson (yes, from Stratechery) to explain why unprofitable stocks are performing well. It is basically what you might expect (they are re-investing profits in growth).

For those who wonder how you tell the good unprofitable companies from the bad unprofitable companies: typically you look at gross margins -- or unit economics. This is a little complicated to estimate for any sticky subscription company -- like a SaaS company -- you need to estimate the LTV and discount down to get the true gross margins.

Thompson's point is that a sticky subscription company can have enormous LTV.