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FB,

Be very carefule with that tax rate! A 9.3% tax rate is very likely not sustainable. Yes, that was the tax rate in 2007, but the tax rate was 29.6% in 2006. Usually corporate tax rates are somewhere between 28%-40%, depending on what state they are domiciled in and how much business is done overseas in different tax rate countries.

For things like tax rate I always like to use smoothed 3-5 year averages. That helps get rid of one-time things that can cause very different rates year to year. Looking at ATHR's numbers, their tax rate has been all over the place the last few years. Find out why. After that, try to establish a best guess tax rate going forward into the forseeable future. If you are much below 30% you are probably being much too optimistic.

Remember that individual financial statements are just snapshots in time. After you have read the most recent statements, look at the last few year's of data (morningstar is great for this) to get an idea for any abberations that make the current year financials unrepresentative of what the company will accomplish in the future.



Mike
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