Matt,
I am trying to improve how I evaluate growth stocks. I see TAM as essential to evaluating a growth stock’s prospects. I would think that would make it one the most on-topic topics we could discuss.
Gross Margins and earnings growth are great, but obviously growth stocks are about looking into the future. I’d like to throw together a table of some interesting metrics including GM, earnings growth, EV/S, FCF, guidance, TAM, etc.
With stocks making new highs in P/S, I’d like to see how much leash to give these stocks to run. I already started scaling back on names in the 30’s, but I’d like to know if a company like ESTC has already gathered the low-hanging fruit, or just scratched the surface.