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GuruFocus has detected 4 Warning Signs with Finisar Corp $FNSR.
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Finisar Corp (NAS:FNSR)
PEG Ratio
PE(NRI) Ratio / EBITDA 5-Y Growth
32.39 (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, Finisar Corp's P/E (NRI) Ratio is 38.86. Finisar Corp's 5-year average EBITDA growth rate is 1.20%. Therefore, Finisar Corp's PEG for today is 32.39.

FNSR' s PEG Ratio Range Over the Past 10 Years
Min: 3.11   Max: 627.62
Current: 32

3.11
627.62

During the past 13 years, Finisar Corp's highest PEG was 627.62. The lowest was 3.11. And the median was 13.64.

FNSR's PEG Ratio is ranked lower than
95% of the 145 Companies
in the Global Communication Equipment industry.

( Industry Median: 1.59 vs. FNSR: 32.00 )

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.

Finisar Corp's PEG for today is calculated as

PEG=P/E (NRI) Ratio/EBITDA Growth Rate (5-year average)
=38.8636363636/1.20
=32.39

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's 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 local exchange's currency.

Finisar Corp Annual Data

Apr07Apr08Apr09Apr10Apr11Apr12Apr13Apr14Apr15Apr16
peg 0.000.000.000.000.000.000.000.0016.2314.17

Finisar Corp Quarterly Data

Jul14Oct14Jan15Apr15Jul15Oct15Jan16Apr16Jul16Oct16
peg 0.000.004.4816.23608.740.0029.4014.175.763.09
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