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I'm new to this process. In looking at ASTE I saw quite a few numbers I liked. However, when I went to calculate the Fool Ratio from "The MF Investment Guide" I took the EPS for 98, projected for 99 and 2000 to be as 1.29, 1.59, and 1.87 respectively. I got those numbers from E*Trade. I then took the square root of ratio of 1.87/1.29 and got 20.4% growth over the two years. When I divide that into the current P/E which is listed at 27.4, I get a ratio of 1.34 which is not a good buy sign. It looks almost like a short. Am I missing something here? Am I doing something wrong? It looks like a pretty good company but that doesn't seem to bode well. I drive on roads, but I don't know much about making them or the equipment that does.
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