Quiksilver's current P/E ratio is not meaningful given that the company has lost $0.70 per share in the last four quarters. Our P/E analysis compares the stock's 12-month trailing P/E to our own calculated optimum P/E, which is based on the company's two-year EPS growth rate. Our grade is then determined based on whether the stock is trading at a discount or a premium to the optimum P/E. Quiksilver's two-year EPS growth rate is 45.64% compared to -56.44% and -40.90% for the last three and five years respectively.
This is potentially worrying and thus my long term sentiment would be to sell.