PE ratio relative to earnings growth — is the valuation justified?
0.70
PEG Ratio
0.70
Growth Rate Source
Good Data Quality5-Year EPS CAGR
Current Price
$46.01
TTM EPS
$2.80
P/E Ratio
16.43
Growth Rate
23.6%
5-Year EPS CAGR
Sector
Real Estate
REIT - Healthcare Facilities
Calculated
8/18/2026
9:47:13 AM
Peer Comparison
Sample Size
2 peers
Industry Median PEG
72.47
25th Percentile
13.09
75th Percentile
131.86
OHI PEG (0.70) vs Industry Median (72.47): 99% discount
Symbol
Company
PEG
P/E
Growth
vs OHI
LTC
LTC Properties, Inc.
13.09
13.8
1.1%
+1780%
O
Realty Income Corporation
131.86
45.5
0.3%
+18845%
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.