PE ratio relative to earnings growth — is the valuation justified?
0.82
PEG Ratio
0.82
Growth Rate Source
Good Data Quality5-Year EPS CAGR
Current Price
$41.62
TTM EPS
$1.31
P/E Ratio
31.77
Growth Rate
38.6%
5-Year EPS CAGR
Sector
Technology
Software - Infrastructure
Calculated
7/28/2026
8:19:10 AM
Peer Comparison
Sample Size
3 peers
Industry Median PEG
0.77
25th Percentile
0.13
75th Percentile
57.56
NTCT PEG (0.82) vs Industry Median (0.77): 7% premium
Symbol
Company
PEG
P/E
Growth
vs NTCT
BLKB
Blackbaud, Inc.
0.13
9.1
72.0%
-85%
ACIW
ACI Worldwide, Inc.
0.77
21.9
28.6%
-7%
NSIT
Insight Enterprises, Inc.
57.56
18.6
0.3%
+6894%
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.
