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872 Posts.
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09/11/17
18:17
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Hi Brent,
Not necessarily. It depends on expected future growth.
What if the stock currently earning $2 slows to 50c next year onward and the one warning $1 grows to $2 next year onward?
Isn’t PEG ratio a better ratio? The trouble is in the forecasting of the growth that goes into it!!
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