About this book:

*Scaling Growth Investing* presents a systematic framework for identifying, valuing, and managing high-growth stocks with a disciplined approach to risk and timing. The book distinguishes between simple growth and true scaling—the ability to increase output without a proportional rise in inputs. It argues that durable success comes from businesses with improving unit economics, strong operating leverage, and defensible competitive advantages, rather than those chasing revenue at any cost.

The core of the analysis involves dissecting a company's fundamentals to assess the quality and sustainability of its growth. The book emphasizes moving beyond headline revenue numbers to scrutinize recurring revenue mix, Net Revenue Retention (NRR), and cohort behavior. It provides tools for analyzing unit economics—such as LTV/CAC, payback periods, and contribution margins—to separate sustainable businesses from cash-burning ones. Furthermore, it explores how to measure a company's potential runway through market analysis (TAM/SAM/SOM) and examines specific business models like SaaS and marketplaces that are conducive to scaling. Financial integrity is a key theme, urging investors to look past adjusted metrics to understand true GAAP reality, cash flow paths, and the long-term impact of stock-based compensation.

Beyond fundamental analysis, the book offers a comprehensive guide to portfolio construction and risk management. It details how to use leading indicators like billings and Remaining Performance Obligation (RPO) to anticipate future performance and recognize inflection points where a business's trajectory changes. The text introduces practical tools for timing entries and exits—such as analyzing bases, breakouts, and post-earnings drifts—while framing them within a broader risk-control system. This system includes position sizing based on principles like the Kelly Criterion, the use of trailing exits and volatility budgets, and the strategic role of cash and hedging as tools rather than emotional responses. Ultimately, the book aims to provide investors with a complete personal system, combining analytical checklists and behavioral discipline to navigate the volatility of growth investing and compound intelligently over the long term.

What You'll Find Inside:

• The distinction between growth and scaling, focusing on achieving increased output without proportional increases in input.
• A framework for evaluating revenue quality through metrics like Net Revenue Retention (NRR), cohort analysis, and recurring mix.
• Strategies for identifying 'inflection points' on the S-curve where a business transitions from product-market fit to go-to-market fit.
• Rigorous risk management techniques including Kelly-based position sizing, volatility budgeting, and thesis-driven sell rules.
• The importance of financial integrity, specifically how to reconcile GAAP realities with adjusted management narratives like 'Adjusted EBITDA'.

Who's It For:

This book is designed for active individual investors and professional portfolio managers who specialize in the high-growth equity space. It is particularly beneficial for those seeking a systematic, quantitative approach to identifying sustainable compounders while mitigating the high volatility and narrative-driven risks inherent in growth investing.