PE ratio relative to earnings growth — is the valuation justified?
0.45
PEG Ratio
0.45
Growth Rate Source
Good Data Quality5-Year EPS CAGR
Current Price
$80.87
TTM EPS
$4.81
P/E Ratio
16.81
Growth Rate
37.7%
5-Year EPS CAGR
Sector
Consumer Defensive
Beverages - Alcoholic
Calculated
7/28/2026
7:28:10 PM
Peer Comparison
Sample Size
2 peers
Industry Median PEG
1.63
25th Percentile
0.47
75th Percentile
2.80
BUD PEG (0.45) vs Industry Median (1.63): 73% discount
Symbol
Company
PEG
P/E
Growth
vs BUD
ABEV
Ambev S.A.
0.47
3.1
6.6%
+6%
BUDFF
Anheuser-Busch InBev SA/NV
2.80
16.6
5.9%
+526%
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.
