PE ratio relative to earnings growth — is the valuation justified?
1.53
PEG Ratio
1.53
Growth Rate Source
Good Data Quality5-Year EPS CAGR
Current Price
$64.86
TTM EPS
$3.59
P/E Ratio
18.07
Growth Rate
11.8%
5-Year EPS CAGR
Sector
Healthcare
Medical - Devices
Calculated
8/28/2026
10:19:10 PM
Peer Comparison
Sample Size
2 peers
Industry Median PEG
3.57
25th Percentile
0.62
75th Percentile
6.52
PDEX PEG (1.53) vs Industry Median (3.57): 57% discount
Symbol
Company
PEG
P/E
Growth
vs PDEX
ELMD
Electromed, Inc.
0.62
23.2
37.4%
-59%
UTMD
UTAH MEDICAL PRODUCTS INC
6.52
21.9
3.4%
+327%
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.
