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Forest Laboratories, Inc. (NYSE:FRX)
PEG
30.20 (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, Forest Laboratories, Inc.'s P/E (NRI) Ratio is 151.80. Forest Laboratories, Inc.'s 5-year average EBITDA growth rate is -33.40%. Therefore, Forest Laboratories, Inc.'s PEG for today is 30.20.

FRX' s 10-Year PEG Range
Min: 0.32   Max: 12.48
Current: 30.2

0.32
12.48

During the past 13 years, Forest Laboratories, Inc.'s highest PEG was 12.48. The lowest was 0.32. And the median was 1.33.

FRX's PEGis ranked lower than
60% of the 312 Companies
in the Global Drug Manufacturers - Specialty & Generic industry.

( Industry Median: 2.74 vs. FRX: 30.20 )

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.

Forest Laboratories, Inc.'s PEG for today is calculated as

PEG=P/E (NRI) Ratio/EBITDA Growth Rate (5-year average)
=151.80/-33.40
=

* 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.

Forest Laboratories, Inc. Annual Data

Mar04Mar05Mar06Mar07Mar08Mar09Mar10Mar11Mar12Mar13
peg 0.650.360.843.414.481.502.361.600.890.00

Forest Laboratories, Inc. Quarterly Data

Sep11Dec11Mar12Jun12Sep12Dec12Mar13Jun13Sep13Dec13
peg 0.780.630.891.373.650.000.000.000.000.00
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