After the Year 2001, Tony expects the company to grow at a rate of about 14.9 percent, and if it achieves this constant growth situation, he thinks the P/E ratio will rise to 15. With a forecasted EPS of $2.02 and a P/E ratio of 15, the forecasted Year 2001 stock price is $30.30. (A rounding difference accounts for the difference between the $30.30 and the $30.20 shown in Table 5. With forecasts such as these, such a difference is not significant.)