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To: The Ox who wrote (1072)	8/7/2012 4:56:23 PM
From: The Ox	1 Recommendation Respond to of 8239

Hmmm, PCLN grew revs the past 5 years over 30% per year. Grew EPS over 65% per year for the past 5 years. Now that they have nearly $1.5 billion in sales, they are "slowing" to 10% to 15% growth. Well, yeah. Trailing PE at $570 is around 22. Forward PE for next 4 quarters looks to be around 16, after trimming estimates by a few $. Seems to me that they are still looking to grow EPS yoy around 25%. I understand the haircut but this looks a bit overdone. Assuming they can continue to be as efficient as in the past, EPS growth between 20% to 30% for this company would justify at least a forward PE at the lower end of the range, say 22. Still looks like they can justify a $650 to $800 price target ($36 eps times 22 = $792). my 2 cents worth...buyer beware!!