one dollar today, page-17

zwu,

And I will repeat again to you that I said,

    "You try to gauge what something is "worth" by making simplistic
    historical comparisons.

    Which is just stupid."

I have seen, experienced and used far more sophisticated valuation tools and methods to know that P/e's do not tell you what a business' value is.

You cannot derive value from P/e (unless maybe in DCF or CAPM ... ... but these models are also flawed).

If you have studied security analysis and company performance properly, you would not point people to idiot websites like Wikipedia :)

(Actually if you study anything seriously you will not use Wikipedia).

If there seems to be a correlation - it is non intrinsic.

The bottom line is,

    (1) You do not know what GTP's fair value is

    (2) You do not know how to calculate value

    (3) You are only guessing, and make foolish claims on what GTP is worth and
    at what price is or is not sustainable

You say GTP's fair value is "much less than 64c". How much less ? 10c ? 20c ? 30c ? 40c ? 50c ? 60c ? ...

Heh. What a joke.

Some more examples that disprove your method:

SLX is trading at a P/e of 117.

ABS is trading at a P/e of 2.

Tell me, what are their historical P/e's ?

... Why aren't these stocks breaking their so-called "unsustainable" prices ? :)

I will say again:

    Anything that uses price as an input cannot determine value.

    This is because the _business_ creates the value.

    The _market_ creates the price.

One day you might learn the complexities of valuing a business :)