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Novo Nordisk A/S (NYSE:NVO)
PEG Ratio:
PE(NRI) Ratio / EBITDA 5-Y Growth
1.53 (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, Novo Nordisk A/S's P/E (NRI) Ratio is 29.97. Novo Nordisk A/S's 5-year average EBITDA growth rate is 19.60%. Therefore, Novo Nordisk A/S's PEG for today is 1.53.

NVO' s 10-Year PEG Range
Min: 0.54   Max: 1.65
Current: 1.74

0.54
1.65

During the past 13 years, Novo Nordisk A/S's highest PEG was 1.65. The lowest was 0.54. And the median was 1.14.

NVO's PEGis ranked higher than
99% of the 1364 Companies
in the Global Biotechnology industry.

( Industry Median: 0.00 vs. NVO: 1.74 )

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.

Novo Nordisk A/S's PEG for today is calculated as

PEG=P/E (NRI) Ratio/EBITDA Growth Rate (5-year average)
=29.9746593026/19.60
=1.53

* 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.

Novo Nordisk A/S Annual Data

Dec05Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14
peg 0.000.000.761.121.021.101.191.040.981.24

Novo Nordisk A/S Quarterly Data

Sep12Dec12Mar13Jun13Sep13Dec13Mar14Jun14Sep14Dec14
peg 1.141.040.970.880.920.981.211.211.361.24
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