PE ratio relative to earnings growth — is the valuation justified?
0.27
PEG Ratio
0.27
Growth Rate Source
Limited Data Quality3-Year EPS CAGR
Current Price
$96.64
TTM EPS
$6.26
P/E Ratio
15.44
Growth Rate
57.8%
3-Year EPS CAGR
Sector
Communication Services
Entertainment
Calculated
7/28/2026
7:18:39 AM
Peer Comparison
Sample Size
3 peers
Industry Median PEG
1.16
25th Percentile
0.99
75th Percentile
2.38
DIS PEG (0.27) vs Industry Median (1.16): 77% discount
Symbol
Company
PEG
P/E
Growth
vs DIS
AMZN
Amazon.com, Inc.
0.99
27.7
27.9%
+272%
META
Meta Platforms, Inc.
1.16
21.6
18.6%
+335%
KO
The Coca-Cola Company
2.38
26.4
11.1%
+790%
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.