PEG ratio

The PEG ratio is P/E divided by expected annual earnings growth in percent, so a P/E of 30 with 30% growth gives a PEG of 1. It rests on a growth forecast that guidance moves every quarter, and on rate nights the P/E underneath it moves too.

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In MochaLearnLearn how to read US earnings
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  • Price-to-sales ratioThe price-to-sales ratio is market value divided by annual revenue, used for companies with no profit yet, where P/E…
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  • RevenueRevenue is the total money a company takes in from sales before any costs, the top line. Growth companies are judged…
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