Comment by bko

The all things being equal makes no sense in this regard.

It's like me saying "all things being equal except you're a duck"

You can't be a duck and have all things equal. Same way a company can't be equal to another company and have a $4bn backlog. This isn't an independent variable like the color of your logo.

> PE would probably be satisfied to make half the profit and double the margin, especially if it also happens to position the company for a more favorable sale. Would you rather buy a business that's at 5 or 10% margin?

So PE doesn't maximize profit but instead maximizes profit margin? This makes no sense. Why?