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CVS Health Corp (NYSE:CVS)
PEG Ratio:
PE(NRI) Ratio / EBITDA 5-Y Growth
2.28 (As of Today)

PEG is defined as the P/E (NRI) Ratio divided by the growth ratio. The growth rate we use is the 5-year average EBITDA growth rate. As of today, CVS Health Corp's P/E (NRI) Ratio is 25.56. CVS Health Corp's 5-year average EBITDA growth rate is 11.20%. Therefore, CVS Health Corp's PEG for today is 2.28.

CVS' s 10-Year PEG Range
Min: 0.56   Max: 4.79
Current: 2.29

0.56
4.79

During the past 13 years, CVS Health Corp's highest PEG was 4.79. The lowest was 0.56. And the median was 1.34.

CVS's PEGis ranked lower than
60% of the 15 Companies
in the Global Health Care Plans industry.

( Industry Median: 1.69 vs. CVS: 2.29 )

Peter Lynch thinks a company with a P/E (NRI) ratio equal to its growth rate is fairly valued.


Definition

PEG is defined as the P/E (NRI) Ratio divided by the growth ratio. The ratio we use is the 5-year average EBITDA growth rate.

CVS Health Corp's PEG for today is calculated as

PEG=P/E (NRI) Ratio/EBITDA Growth Rate (5-year average)
=25.5634146341/11.20
=2.28

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Explanation

To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG. PEG is defined as the P/E ratio divided by the growth ratio. He thinks a company with a P/E ratio equal to its growth rate is fairly valued. Still he said he would rather buy a company growing 20% a year with a P/E of 20, instead of a company growing 10% a year with a P/E of 10.


Related Terms

P/E (NRI) Ratio, Peter Lynch Fair Value


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

CVS Health Corp Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
peg 1.260.791.070.650.741.111.852.112.001.94

CVS Health Corp Quarterly Data

Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14Mar15
peg 2.112.222.101.822.001.831.621.731.941.93
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