There are still 40 (40!) names on the ASX that require double-digit EPS growth each year every year for the next decade, to justify a “market-like” rate of return (here 7%).
Some of those have plausible cyclical recovery, some have plausible secular growth…
…but not all.
We would regard the vast majority of those names as guided more by irrational exuberance, than anything else.
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