PE ratio relative to earnings growth — is the valuation justified?
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PEG Ratio
Negative EPS growth — PEG not meaningful when earnings are declining
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Growth Rate Source
Limited Data Quality3-Year EPS CAGR
Current Price
$531.20
TTM EPS
$2.49
P/E Ratio
213.33
Growth Rate
-8.2%
3-Year EPS CAGR
Sector
Industrials
Aerospace & Defense
Calculated
7/30/2026
9:15:20 PM
PEG Ratio Unavailable
Negative Growth — PEG not meaningful
Peer Comparison
Sample Size
2 peers
Industry Median PEG
0.19
25th Percentile
0.13
75th Percentile
0.25
Symbol
Company
PEG
P/E
Growth
vs AXON
HUBS
HubSpot, Inc.
0.13
111.3
873.5%
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DOCN
DigitalOcean Holdings, Inc.
0.25
52.3
207.6%
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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.