PE ratio relative to earnings growth — is the valuation justified?
4.48
PEG Ratio
4.48
Growth Rate Source
Good Data Quality5-Year EPS CAGR
Current Price
$81.00
TTM EPS
$3.96
P/E Ratio
20.45
Growth Rate
4.6%
5-Year EPS CAGR
Sector
Basic Materials
Paper, Lumber & Forest Products
Calculated
8/18/2026
10:04:39 AM
Peer Comparison
Sample Size
2 peers
Industry Median PEG
0.72
25th Percentile
0.43
75th Percentile
1.01
UFPI PEG (4.48) vs Industry Median (0.72): 521% premium
Symbol
Company
PEG
P/E
Growth
vs UFPI
ADN.TO
Acadian Timber Corp.
0.43
6.7
15.4%
-90%
SJ.TO
Stella-Jones Inc.
1.01
14.5
14.3%
-77%
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.