Consolidation and high volume are necessary to generate sufficient profits to
justify higher stock valuations given the extremely competitive and sometimes deflationary environment in the pharmaceutical retailers industry.
Not exact matches
Some analysts have also suggested that tech
stocks lack the fundamentals to
justify high valuations.
Sky -
high valuations Going into 2014, 3D printing
stocks likely commanded difficult - to -
justify valuations, making it hard for many investors to believe they were underpriced relative to their market opportunity.
In some cases, a
high rate of earnings or revenue growth may
justify a
high stock price
valuation, particularly if the company has a competitive advantage in its market.
Given that
stock valuations are often viewed through the lenses of EPS and the related price - earnings ratio,
higher EPS
justifies (and can lead to) a rising share price.
Many exclaimed that ultra-low interest rates alone
justified extremely
high stock valuations, including a GAAP - based price - to - earnings ratio (P / E) of 25.