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The formula for PEG is (Price/future Earnings)/estimated Growth rate. For instance, if the price of a stock was $100 and it was expected to earn $10 over the next 12 months, its P/E ratio would be 10. Then, if the company was expected to grow at an annualized rate of 20% over the next five years, this would give the company a PEG of .500. Generally, the lower the PEG the better. However, because you are looking at future earnings and estimated growth rates, this metric is not as concrete as others, like Price/Book for example. This ratio can be found on any finance website, including Yahoo! and Google.
What else can I help you with?
What does it mean if a company's PEG ratio is negative?
A negative PEG ratio for a company indicates that its stock may be undervalued relative to its earnings growth potential. This could suggest a potential buying opportunity for investors.
What does a negative PEG ratio indicate about a company's growth potential and stock valuation?
A negative PEG ratio indicates that a company's stock may be undervalued relative to its growth potential. This could suggest that the company is experiencing slower growth or facing challenges that are not fully reflected in its stock price. Investors may interpret a negative PEG ratio as a signal to further investigate the company before making investment decisions.
What is ideal PB ratio in buying stocks?
less than 1
What is the significance of a negative peg ratio in evaluating a company's stock performance?
A negative peg ratio indicates that a company's stock may be undervalued relative to its earnings growth rate. This can be a sign of potential investment opportunity as the stock may have room to grow in the future.
How do you find stock price of market value ratios?
There are a lot of sites that have the most commonly used valuation metrics for stocks. Sites like Zacks, Yahoo finance and IBD are good. P/E ratios, price to book, PEG ratio and many others are found on those sites.
How do you calculate a ratio from a percent?
Formula to calculate the ratio
What does it mean if a company's PEG ratio is negative?
A negative PEG ratio for a company indicates that its stock may be undervalued relative to its earnings growth potential. This could suggest a potential buying opportunity for investors.
For investing, what stocks will give me the best value?
Stocks with the best value are stocks with the highest annual net revenue per share to stock price ratio. Annual debt must be subtract from net revenue before ratio is determined.
How do you calculate credit loss ratio?
how do we calculate credit loss ratio in banks financials
What is ideal PB ratio in buying stocks?
less than 1
What does a negative PEG ratio indicate about a company's growth potential and stock valuation?
A negative PEG ratio indicates that a company's stock may be undervalued relative to its growth potential. This could suggest that the company is experiencing slower growth or facing challenges that are not fully reflected in its stock price. Investors may interpret a negative PEG ratio as a signal to further investigate the company before making investment decisions.
Is it true that a ratio is a rate?
No. It can be but need not be. For example, you might calculate the ratio of today's temperature in Celsius and in Fahrenheit and calculate the ratio. That is not a rate.
What is the significance of a negative peg ratio in evaluating a company's stock performance?
A negative peg ratio indicates that a company's stock may be undervalued relative to its earnings growth rate. This can be a sign of potential investment opportunity as the stock may have room to grow in the future.
How to get a ratio?
calculate the ratio between proton&electron
How do you calculate CD ratio?
cd ratio calculation
How to calculate Hotel staff room ratio?
how to calculate room to staff Ratio for 5 star hotel
What is the current ratio if cash is 8000 accounts payable is 2000 and stocks worth 2000?
Current ratio = current assets / current liabilityCurrent ratio = 10000 / 2000current ratio = 500%
