It depends on what kind of tech company you are talking about. A Microsoft will have a fairly understandable business model with predictable cashflows. Convers

It depends on what kind of tech company you are talking about. A Microsoft will have a fairly understandable business model with predictable cashflows. Conversely, most young, public tech companies are more of a gamble on management teams/product being able to execute their plan and grow. That to me is something you wont learn in books and pick up on with experience. And always remember that just because a product sounds good, or is good, it might not necessarily be a good investment. You are buying a stake in a business and if you pay too much for that stake, you decrease your margin of safety.