PE ratio relative to earnings growth — is the valuation justified?
3.34
PEG Ratio
3.34
Growth Rate Source
Good Data Quality5-Year EPS CAGR
Current Price
$1183.27
TTM EPS
$124.10
P/E Ratio
9.53
Growth Rate
2.9%
5-Year EPS CAGR
Sector
Consumer Defensive
Education & Training Services
Calculated
8/18/2026
12:46:56 PM
Peer Comparison
Sample Size
2 peers
Industry Median PEG
0.63
25th Percentile
0.48
75th Percentile
0.79
GHC PEG (3.34) vs Industry Median (0.63): 427% premium
Symbol
Company
PEG
P/E
Growth
vs GHC
ATGE
Adtalem Global Education Inc.
0.48
17.3
36.2%
-86%
AXTA
Axalta Coating Systems Ltd.
0.79
21.7
27.5%
-76%
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.
