GDS HoldingsMEX:GDSN 69 PEG Ratio is 2.96 as of Jun. 27, 2026, which is 93% below its 10-year median of 40.86. GuruFocus rates MEX:GDSN with a GF Score™ of 69/100 and a GF Value™ of MXN450.45 (Significantly Overvalued). The stock has 5 warning signs investors should review. Among 822 Software companies, GDS Holdings ranks worse than 74.57% on this metric.
* The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
The historical rank and industry rank for GDS Holdings's PEG Ratio or its related term are showing as below:
MEX:GDSN'
s PEG Ratio Range Over the Past 10 Years
Min: 2.51 Med: 40.86 Max: 91.28
Current: 2.51
During the past 12 years, GDS Holdings's highest PEG Ratio was 91.28. The lowest was 2.51. And the median was 40.86.
MEX:GDSN's PEG Ratio is ranked worse than 74.57% of 822
companies
in the Software industry
Industry Median: 1.26
vs MEX:GDSN: 2.51
Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.
GDS Holdings (MEX:GDSN) PEG Ratio Explanation
To compare stocks with different growth rates, Peter Lynch invented a ratio called PEG Ratio. PEG Ratio 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.
GDS Holdings PEG Ratio Related Terms
GDS Holdings PEG Ratio Historical Data
* Premium members only.
The historical data trend for GDS Holdings's PEG Ratio can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Information Technology Services subindustry, GDS Holdings's PEG Ratio, along with its competitors' market caps and PEG Ratio data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
GDS Holdings PEG Ratio vs Software Industry
For the Software industry and Technology sector, GDS Holdings's PEG Ratio distribution charts can be found below:
* The bar in red indicates where GDS Holdings's PEG Ratio falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
* Note: The 5-Year EBITDA Growth Rate is the 5-year average EBITDA per share growth rate. While the denominator is a percentage, we use the whole number as opposed to the decimal form for the calculation. For example, 5% would be shown as 5 as opposed to 0.05. If it's smaller than or equal to 0, then the PEG Ratio is not calculated.
GDS Holdings (MEX:GDSN) has a PEG Ratio of 2.96 as of Jun. 27, 2026. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on GDS Holdings and its competitors. This is 93% below median its historical median of 40.86. Over the past decade, GDS Holdings' PEG Ratio has ranged from 2.51 to 91.28. According to the industry distribution chart, GDS Holdings ranks #613 out of 822 companies in the Software industry, placing it in the top 74.6%.
Is GDS Holdings' PEG Ratio too high?
GDS Holdings' current PEG Ratio of 2.96 is 93% below median its 10-year median of 40.86. Over the past 10 years, this metric has ranged from a low of 2.51 to a high of 91.28. The Software industry median PEG Ratio is 1.26. GDS Holdings' value of 2.96 is 134.9% above this industry median. Based on the distribution chart, GDS Holdings ranks #613 out of 822 companies in the Software industry, which is below the industry midpoint. Overall, GDS Holdings has a GF Score™ of 69/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does GDS Holdings' PEG Ratio compare to INGM and PSN?
According to the Software industry distribution chart, GDS Holdings ranks #613 out of 822 companies for PEG Ratio. This places GDS Holdings in the lower half of its industry. The industry median PEG Ratio is 1.26. GDS Holdings' value of 2.96 is 134.9% above this benchmark. Historically, GDS Holdings' own PEG Ratio has ranged from 2.51 to 91.28 over the past decade. While the company's 10-year median is 40.86 vs. the industry median of 1.26, GDS Holdings has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good PEG Ratio for a Software company?
The median PEG Ratio among Software companies is 1.26, based on 822 companies in the industry. Companies in the top quartile (top 25%) have a PEG Ratio significantly above this median, while those in the bottom quartile fall well below. However, PEG Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. GDS Holdings's current PEG Ratio of 2.96 is 134.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high PEG Ratio mean?
A high PEG Ratio can signal that a stock is expensive relative to its fundamentals. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on GDS Holdings and its competitors. For the Software industry, the median PEG Ratio is 1.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. GDS Holdings's current PEG Ratio is 2.96, which is 93% below median its own 10-year median of 40.86. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is GDS Holdings stock overvalued right now?
Based on GuruFocus' analysis, GDS Holdings (MEX:GDSN) is currently considered Significantly Overvalued. The stock's GF Value™ is MXN450.45, compared to a current price of MXN618.00 — trading 37.2% above its estimated fair value. The current PEG Ratio is 2.96, which is 93% below median its 10-year median of 40.86 and 134.9% above the Software industry median of 1.26. GDS Holdings' overall GF Score™ is 69/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is PEG Ratio calculated?
PEG Ratio is calculated from a company's financial statements. For GDS Holdings (MEX:GDSN), the current PEG Ratio is 2.96 as of Jun. 27, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is GDS Holdings (MEX:GDSN) Overvalued in 2026?
Based on GuruFocus' analysis, GDS Holdings stock appears to be overvalued.
The current stock price of MXN618.00 is trading 37.2% above its estimated GF Value™ of MXN450.45.
GuruFocus considers GDS Holdings to be Significantly Overvalued.
Key valuation signals for MEX:GDSN:
PEG Ratio: 2.96 (93% below median its 10-year median of 40.86)
GF Value™: MXN450.45 vs. price of MXN618.00 (37.2% above fair value)
Industry Position: 134.9% above the Software median (#613 of 822)
No single metric tells the full story. See the MEX:GDSN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
GDS Holdings started as an IT service provider in 2001, then moved to the data center business with its first self-developed data center opening in 2010. The company now develops and operates data centers in China and also builds, operates, and transfers data centers for other clients. It offers colocation and managed services and mainly targets hyperscale cloud service customers who take large areas of its data centers or even whole data centers under long-term contracts. Its data centers are located predominantly in and around the Tier 1 cities in China, and it has also started expanding into Southeast Asia via the now 23% owned DayOne. GDS listed on the Nasdaq in 2016 and completed a secondary listing in Hong Kong in 2020.
69GF Score
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