2 Growth Stocks That Are Generating Incredible Margins

When a company releases its earnings results for a quarter, the focus is often on its top and bottom lines. But one number that investors shouldn't overlook is gross margin. A strong gross margin can ensure that a company's profitability improves over time as its revenue increases. And for businesses that aren't yet profitable, it's a good indicator that at least they may eventually get out of the red.

Two companies that have strong gross margins of 70% or better include Align Technology (NASDAQ: ALGN) and Etsy (NASDAQ: ETSY). Add to that some promising growth prospects, and these are two stocks that investors may want to consider for their portfolios.

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Source Fool.com