67reasonableof 100
Strongest on what the price implies (100), weakest on management (46).
Buffett50quality and balance sheet
Lynch83growth against the price
Lynch type: Slow grower — Revenue growth of 8.3% per year and a dividend yield of 4.7%: in Peter Lynch’s classification a slow grower.
What the price implies
P/E now13.4×price divided by earnings per share
Forward P/E11.8×on the profit analysts expect for the coming year
P/E over three years13.4×the assumption in the calculation, never higher than now
Expected return per year22.7%threshold 10% per year · earnings growth 50.0% per year (analysts, coming year)
At 50% earnings growth per year (analysts, coming year) and a P/E of 13.4 over three years, this works out to about 22.7% per…
