PE ratio relative to earnings growth — is the valuation justified?
0.07
PEG Ratio
0.07
Growth Rate Source
Limited Data Quality1-Year EPS CAGR
Current Price
$19.95
TTM EPS
$3.01
P/E Ratio
6.63
Growth Rate
96.1%
1-Year EPS CAGR
Sector
Communication Services
Telecommunications Services
Calculated
7/28/2026
7:27:43 PM
Peer Comparison
Sample Size
3 peers
Industry Median PEG
0.08
25th Percentile
0.06
75th Percentile
3.57
TBB PEG (0.07) vs Industry Median (0.08): 8% discount
Symbol
Company
PEG
P/E
Growth
vs TBB
T-PA
AT&T Inc.
0.06
6.0
104.0%
-16%
PRS
Prudential Financial, Inc. 5.62
0.08
2.5
33.3%
+9%
SO
The Southern Company
3.57
24.7
6.9%
+5073%
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.
