With earnings growing at 25%, if they attain a PE of only 11 their stock price would be $46.75, up 47.6% in just one year. (And imagine if they beat their estimates by 2% instead of 1%!)
Saul,
That scenario is possible and probably likely. Nevertheless, I sold a partial position (25% of my position) today because I think that the stock will likely continue to fall until the market believes their sales are not declining in 2017. I intend to buy back once I think the shares have bottomed.
Chris