A company that consistently delivers high profit margins is a good buy. A higher profit margin indicates the company is more efficiently run with lower operating costs and higher revenues. The company’s good performance and high profitability are expected to yield higher growth.
When choosing investments look for high profit margin stocks.
If you want to learn more, check out these resources:
- How to Become a Millionaire by Investing
- How to Maintain Proper Asset Allocation with Multiple Investing Accounts