AMZN PEG (1.06) vs Industry Median (0.46): 132% premium
Symbol
Company
PEG
P/E
Growth
vs AMZN
PDD
PDD Holdings Inc.
0.03
1.3
40.5%
-97%
SE
Sea Limited
0.17
42.4
244.2%
-84%
GLBE
Global-e Online Ltd.
0.74
47.1
63.5%
-30%
MELI
MercadoLibre, Inc.
0.82
49.5
60.3%
-23%
How to Interpret PEG Ratio
PEG < 1.0 — Potentially Undervalued. The stock may be priced below its earnings growth rate, suggesting a potential buying opportunity.
PEG 1.0–2.0 — Fairly Valued. The stock price is roughly in line with its earnings growth. A PEG of 1.0 is often considered "fair value."
PEG > 2.0 — Potentially Overvalued. The stock may be priced above what its earnings growth justifies.
Limitations:PEG ratios are less reliable for financial firms (earnings driven by interest margins), companies with negative/zero earnings growth, and hypergrowth companies (>100% growth) where the ratio may appear misleadingly low. Always use PEG alongside other valuation metrics.
