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"Do I like deals that I can't come up with a reasonable earnings estimate on?
As Ben Potter of IG Markets explained: Further modest losses are expected in Europe at the open but it's going to be a case of watching to see if traders can now hold their nerve amidst some reasonable earnings data or whether this is indeed the start of the next correction.
That is a reasonable earnings multiple, given the firm's expected earnings growth and historical valuations.
My advice is to buy stocks with reasonable earnings growth that are trading at substantial discounts to the market multiple.
Despite the strong consensus that the market leader in smokeless tobacco was washed up, it posted reasonable earnings and sales growth and appreciated 48% since I recommended it in late February.
Similar(54)
It's very interesting that the probability is rather small (certainly less than 50%) that a biotechnology company will devise a successful product and have a reasonable profit margin and growing earnings, but it's not impossible.
Mr. Lun said a reasonable price-earnings ratio for Metallurgical would be 15 to 16, compared with the I.P.O.
Assume Glencore matches its peak performance this year, and a reasonable-sounding earnings multiple of 12 would see it trade at the kind of value being discussed.
He also sought out companies with reasonable price-earnings ratios and a bit of momentum working for them.
It's also selling for a very reasonable 12.6 times earnings (based on three-year average earnings), which gets high marks from the strategy.
The bid comes in at a reasonable five times earnings before interest, tax, depreciation and amortization, according to the Royal Bank of Scotland research.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com