TIMTIMB -1.59%87 PEG Ratio is 1.21 as of Jun. 29, 2026, which is 37% below its 10-year median of 1.91. GuruFocus rates TIMB with a GF Score™ of 87/100 and a GF Value™ of $19.58 (Modestly Overvalued). The stock has 2 warning signs investors should review. Among 163 Telecommunication Services companies, TIM ranks better than 67.48% on this metric.
PE Ratio without NRI / 5-Year EBITDA Growth Rate*
PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The growth rate we use is the 5-Year EBITDA growth rate. As of today, TIM's PE Ratio without NRI is 12.63. TIM's 5-Year EBITDA growth rate is 10.40%. Therefore, TIM's PEG Ratio for today is 1.21.
* 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 TIM's PEG Ratio or its related term are showing as below:
TIMB'
s PEG Ratio Range Over the Past 10 Years
Min: 0.8 Med: 1.91 Max: 15.11
Current: 1.21
During the past 13 years, TIM's highest PEG Ratio was 15.11. The lowest was 0.80. And the median was 1.91.
TIMB's PEG Ratio is ranked better than 67.48% of 163
companies
in the Telecommunication Services industry
Industry Median: 2.18
vs TIMB: 1.21
Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.
TIM (NYSE:TIMB) 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.
TIM PEG Ratio Related Terms
TIM PEG Ratio Historical Data
* Premium members only.
The historical data trend for TIM'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 Telecom Services subindustry, TIM'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.
TIM PEG Ratio vs Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, TIM's PEG Ratio distribution charts can be found below:
* The bar in red indicates where TIM'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.
TIM (TIMB) has a PEG Ratio of 1.21 as of Jun. 29, 2026. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on TIM and its competitors. This is 37% below median its historical median of 1.91. Over the past decade, TIM's PEG Ratio has ranged from 0.80 to 15.11. According to the industry distribution chart, TIM ranks #53 out of 163 companies in the Telecommunication Services industry, placing it in the top 32.5%.
Is TIM's PEG Ratio too high?
TIM's current PEG Ratio of 1.21 is 37% below median its 10-year median of 1.91. Over the past 10 years, this metric has ranged from a low of 0.80 to a high of 15.11. The Telecommunication Services industry median PEG Ratio is 2.18. TIM's value of 1.21 is 44.5% below this industry median. Based on the distribution chart, TIM ranks #53 out of 163 companies in the Telecommunication Services industry, which is above the industry midpoint. Overall, TIM has a GF Score™ of 87/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does TIM's PEG Ratio compare to TMUS and VZ?
According to the Telecommunication Services industry distribution chart, TIM ranks #53 out of 163 companies for PEG Ratio. This puts TIM in the upper half of its industry. The industry median PEG Ratio is 2.18. TIM's value of 1.21 is 44.5% below this benchmark. Historically, TIM's own PEG Ratio has ranged from 0.80 to 15.11 over the past decade. While the company's 10-year median is 1.91 vs. the industry median of 2.18, TIM has consistently been below 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 Telecommunication Services company?
The median PEG Ratio among Telecommunication Services companies is 2.18, based on 163 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. TIM's current PEG Ratio of 1.21 is 44.5% below 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 TIM and its competitors. For the Telecommunication Services industry, the median PEG Ratio is 2.18 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. TIM's current PEG Ratio is 1.21, which is 37% below median its own 10-year median of 1.91. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is TIM stock overvalued right now?
Based on GuruFocus' analysis, TIM (TIMB) is currently considered Modestly Overvalued. The stock's GF Value™ is $19.58, compared to a current price of $21.68 — trading 10.7% above its estimated fair value. The current PEG Ratio is 1.21, which is 37% below median its 10-year median of 1.91 and 44.5% below the Telecommunication Services industry median of 2.18. TIM's overall GF Score™ is 87/100 with 2 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 TIM (TIMB), the current PEG Ratio is 1.21 as of Jun. 29, 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 TIM (TIMB) Overvalued in 2026?
Based on GuruFocus' analysis, TIM stock appears to be overvalued.
The current stock price of $21.68 is trading 10.7% above its estimated GF Value™ of $19.58.
GuruFocus considers TIM to be Modestly Overvalued.
Key valuation signals for TIMB:
PEG Ratio: 1.21 (37% below median its 10-year median of 1.91)
GF Value™: $19.58 vs. price of $21.68 (10.7% above fair value)
Industry Position: 44.5% below the Telecommunication Services median (#53 of 163)
No single metric tells the full story. See the TIMB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
TIM, which is 67%-owned by Telecom Italia, is the third-largest wireless carrier in Brazil, with 62 million subscribers, equal to about 23% of the market. The firm owns 49% of I-Systems, an infrastructure partnership that is expanding its network footprint across Brazil. I-Systems can provide broadband service to about 8 million locations, including 6.5 million with fiber, equal to 10%-15% of the country. TIM leases capacity on the venture's network to serve retail broadband customers under the UltraFibra brand, but it has agreed to buy out its joint venture partner in 2026 and will take full ownership of these assets. TIM also resells fiber network access from other providers.
87GF Score
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