PE ratio relative to earnings growth — is the valuation justified?
0.95
PEG Ratio
0.95
Growth Rate Source
Good Data Quality5-Year EPS CAGR
Current Price
$21.89
TTM EPS
$0.31
P/E Ratio
70.61
Growth Rate
74.1%
5-Year EPS CAGR
Sector
Technology
Communication Equipment
Calculated
9/4/2026
3:50:15 PM
Peer Comparison
Sample Size
3 peers
Industry Median PEG
1.83
25th Percentile
1.66
75th Percentile
2.97
EXTR PEG (0.95) vs Industry Median (1.83): 48% discount
Symbol
Company
PEG
P/E
Growth
vs EXTR
FFIV
F5, INC.
1.66
31.2
18.8%
+74%
DGII
DIGI INTERNATIONAL INC
1.83
55.8
30.6%
+92%
NTAP
NetApp, Inc.
2.97
26.2
8.8%
+211%
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.