do the forward sums, page-3

Thanks Tanon. Your position is much appreciated and quite understandable. I may well be wrong too! It all depends on EPS expectations.

I bought CSL in the public float many, many years ago and sold out when it reached $10.00. We all know what happened after that. Back then it was the 30 plus P/E multiple that tipped me out of the stock. So when I bought RHC in the same way many years ago I decided that this time I would evaluate the forward P/E more carefully and consider growth prospects. i would also consider risks. At the moment RHC has two major risks:

1. execution risk and

2. regulatory risk.

Both are currently benign. But that may no always be so. My decision to hold on for some time yet is based on the benign risk outlook and an expected 18-20% EPS growth rate for another 5 years.