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A projection of earnings, based on past growth in earnings as well as sales, would not give us a very good guideline because overall demand for the products is rising exponentially and one-time events, such as the profit on the sale of the Taiwan factory, or licensing fees, or a patent infringement judgment, are occurring with greater frequency. Very roughly, with earnings expected to more than double, a price-earnings ratio of 150 or so, based on operating earnings, or 60, based on total earnings including one-time events, would not be out of line. |
