And using that logic in about 50 years would earning more than all other companies in the world put together.
Actually I think three years is about the limit of reasonably reliable earnings forecasts.
I still say that a current PE of 50 is high in relation to 20% earnings growth over the next three years. I believe the rule of thumb is that if PE ratio divided by forecast % growth rate is greater than 2, then it is expensive.
ALU Price at posting:
$15.62 Sentiment: None Disclosure: Held