"Here's what it found: To live up to the expectations embedded in its current share price, Google would have to increase its EVA, which was $2.4 billion for the

"Here's what it found: To live up to the expectations embedded in its current share price, Google would have to increase its EVA, which was $2.4 billion for the past four quarters, by $2 billion annually this year, next year, and every year into the future - forever. So Google's EVA next year would have to be $4.4 billion; in five years it would have to be $12.4 billion, and so on." That's one way to look at it, but that's assuming that it's going to grow earnings linearly, rather than exponentially. Google isn't growing linearly, and they haven't in the past (look at their record from 2002 on: $99,656, $105,648, $399,119, $1,465,397, $3,077,446). Under no circumstances would one thing that the best fit here is linear growth.