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Diageo PLC (NYSE:DEO)
PEG
4.55 (As of Today)

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. As of today, Diageo PLC's P/E (NRI) Ratio is 19.10. Diageo PLC's 5-year average EBITDA growth rate is 4.20%. Therefore, Diageo PLC's PEG for today is 4.55.

DEO' s 10-Year PEG Range
Min: 1.33   Max: 28.93
Current: 4.55

1.33
28.93

During the past 13 years, Diageo PLC's highest PEG was 28.93. The lowest was 1.33. And the median was 2.47.

DEO's PEGis ranked higher than
83% of the 262 Companies
in the Global Beverages - Wineries & Distilleries industry.

( Industry Median: 6.72 vs. DEO: 4.55 )

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.

Diageo PLC's PEG for today is calculated as

PEG=P/E (NRI) Ratio/EBITDA Growth Rate (5-year average)
=19.10/4.20
=4.55

* 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.

Diageo PLC Annual Data

Jun05Jun06Jun07Jun08Jun09Jun10Jun11Jun12Jun13Jun14
peg 11.332.911.452.831.381.431.892.172.474.75

Diageo PLC Semi-Annual Data

Dec09Jun10Dec10Jun11Dec11Jun12Dec12Jun13Dec13Jun14
peg 0.001.430.001.890.002.170.002.470.004.75
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