PM

Potentially Overvalued

Philip Morris International Inc. — PEG Ratio Analysis

3.65

PEG Ratio

3.65

Growth Rate Source

Good Data Quality5-Year EPS CAGR

Current Price

$184.06

TTM EPS

$7.11

P/E Ratio

25.89

Growth Rate

7.1%

5-Year EPS CAGR

Sector

Consumer Defensive

Tobacco

Calculated

6/17/2026

12:42:57 PM

Peer Comparison

Sample Size

4 peers

Industry Median PEG

2.01

25th Percentile

1.29

75th Percentile

7.07

PM PEG (3.65) vs Industry Median (2.01): 81% premium

Symbol	Company	PEG	P/E	Growth	vs PM
IMBBY	Imperial Brands PLC	0.90	8.8	9.7%	-75%
MO	Altria Group, Inc.	1.29	14.7	11.4%	-65%
BTI	British American Tobacco p.l.c.	2.74	12.7	4.6%	-25%
PEP	PepsiCo, Inc.	7.07	22.9	3.2%	+94%

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.