This article is extremely poor. For one, it doesn't mention net present value, as is pointed out in other comments. Also, the figure they are using for profit i

This article is extremely poor. For one, it doesn't mention net present value, as is pointed out in other comments. Also, the figure they are using for profit is gross profit, which is before payroll and taxation. The actual net profit is much lower. In fact, someone with a kindergarten level of finance knowledge knows that the definition of a PE of 13 is that it is valued at 13 years of net profit, and pointing this out would spare us the rest of the stupid analysis.