W69 said many cyclical stocks have highest PE at the low of the cycle ...which makes sense as then its up time and they end up with lowest PE on top of cycle . FPH is going thru a normalisation cycle and will end up with exorbitant looking PE for the short term as it will be at its low of current cycle .
Most investors see much beyond just next year earnings and also keep in mind what ahead in next 10 years in case of long term growth companies .
Ascribing PE to FPH based on lowest time of normalisation is having a closed mind to its future prospects . Maybe longer term investment ideas are more difficult to grasp for shorter term players . But all types of investors have a place in the markets and almost all are right in their own ways
Now will FPH go to $ 16 then to $ 50 in 5 years or just to $ 20 then to $ 50 in 5 years ? Why it should matter so much when almost all are agreeing its most likely going to $ 50 in less then 5 years .