YenKenZen

Red Hat: Grasping The Open Source Software Concept

Agree with your comments about difference bet'n "software" company v/s "service" company.

I feel though that RHT's valuation simply reflects the growth it has been seeing and cash on hand.. if you look at enterprise value / EBIT, the valuation doesnt seem outrageous for a company thats grown 4 times in 4 years ($93M in 2003 to >$400M in trailing 12 months per my Morningstar screen).