GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Tobacco Products » Japan Tobacco Inc (TSE:2914) » Definitions » PEG Ratio

Japan Tobacco (TSE:2914) PEG Ratio : 2.85 (As of May. 01, 2024)


View and export this data going back to 1994. Start your Free Trial

What is Japan Tobacco PEG Ratio?

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, Japan Tobacco's PE Ratio without NRI is 15.70. Japan Tobacco's 5-Year EBITDA growth rate is 5.50%. Therefore, Japan Tobacco's PEG Ratio for today is 2.85.

* 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 Japan Tobacco's PEG Ratio or its related term are showing as below:

TSE:2914' s PEG Ratio Range Over the Past 10 Years
Min: 1.12   Med: 2.31   Max: 245.2
Current: 2.85


During the past 13 years, Japan Tobacco's highest PEG Ratio was 245.20. The lowest was 1.12. And the median was 2.31.


TSE:2914's PEG Ratio is ranked worse than
66.67% of 21 companies
in the Tobacco Products industry
Industry Median: 1.38 vs TSE:2914: 2.85

Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.


Japan Tobacco PEG Ratio Historical Data

The historical data trend for Japan Tobacco'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.

* Premium members only.

Japan Tobacco PEG Ratio Chart

Japan Tobacco Annual Data
Trend Mar14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
PEG Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - - 4.99 2.24

Japan Tobacco Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
PEG Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 4.99 3.30 2.81 2.44 2.24

Competitive Comparison of Japan Tobacco's PEG Ratio

For the Tobacco subindustry, Japan Tobacco'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.


Japan Tobacco's PEG Ratio Distribution in the Tobacco Products Industry

For the Tobacco Products industry and Consumer Defensive sector, Japan Tobacco's PEG Ratio distribution charts can be found below:

* The bar in red indicates where Japan Tobacco's PEG Ratio falls into.



Japan Tobacco PEG Ratio Calculation

PEG Ratio is defined as the PE Ratio without NRI divided by the growth ratio. The ratio we use is the 5-Year EBITDA growth rate.

Japan Tobacco's PEG Ratio for today is calculated as

PEG Ratio=PE Ratio without NRI/5-Year EBITDA Growth Rate*
=15.698402179515/5.50
=2.85

* 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.


Japan Tobacco  (TSE:2914) 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.


Japan Tobacco PEG Ratio Related Terms

Thank you for viewing the detailed overview of Japan Tobacco's PEG Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Japan Tobacco (TSE:2914) Business Description

Traded in Other Exchanges
Address
2-1, Toranomon 2-chome, Minato-ku, Tokyo, JPN, 105-8422
Japan Tobacco is the third-largest tobacco company globally. It owns a rich brand portfolio including Winston (non-U.S.), Camel (non-U.S.), and Mevius, and holds leading shares in many core markets including Japan, Russia, and the U.K. It has added Logic as a vaping brand and Ploom heated tobacco lines into its reduced-risk-product portfolio. The tobacco business contributes 90% of group sales and nearly all profits, with more than half generated by the overseas tobacco operations. JTI was created through the acquisition of R.J. Reynolds' non-U.S. operations in 1999 and further expanded through multiple acquisitions, of which the purchase of Gallaher in 2007 was the most notable, doubling JTI's sales. Pharmaceutical and processed food operations are the other businesses.

Japan Tobacco (TSE:2914) Headlines

No Headlines