If a company is profitable it means it generates net revenues. The owners of the company have a claim on these revenues. This means if you own the stock of a

If a company is profitable it means it generates net revenues. The owners of the company have a claim on these revenues. This means if you own the stock of a profitable company you have a claim on all this income. The stock price is the price at which you can sell this claim in the market. The thing is you don't have to sell the stock at a higher price in order to profit from it. That's what makes it different.