SYSTEMS DESIGN CoTSE:3766 +1.79%71 PEG Ratio is 0.91 as of Jul. 13, 2026, which is 97% below its 10-year median of 28.34. GuruFocus rates TSE:3766 with a GF Score™ of 71/100 and a GF Value™ of 円1,043.89 (Significantly Overvalued). The stock has 3 warning signs investors should review. Among 817 Software companies, SYSTEMS DESIGN Co ranks better than 62.67% 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 SYSTEMS DESIGN Co's PEG Ratio or its related term are showing as below:
TSE:3766'
s PEG Ratio Range Over the Past 10 Years
Min: 0.75 Med: 28.34 Max: 791
Current: 0.91
During the past 13 years, SYSTEMS DESIGN Co's highest PEG Ratio was 791.00. The lowest was 0.75. And the median was 28.34.
TSE:3766's PEG Ratio is ranked better than 62.67% of 817
companies
in the Software industry
Industry Median: 1.32
vs TSE:3766: 0.91
Peter Lynch thinks a company with a P/E ratio equal to its growth rate is fairly valued.
SYSTEMS DESIGN Co (TSE:3766) 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.
SYSTEMS DESIGN Co PEG Ratio Related Terms
SYSTEMS DESIGN Co PEG Ratio Historical Data
* Premium members only.
The historical data trend for SYSTEMS DESIGN Co'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, SYSTEMS DESIGN Co'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.
SYSTEMS DESIGN Co PEG Ratio vs Software Industry
For the Software industry and Technology sector, SYSTEMS DESIGN Co's PEG Ratio distribution charts can be found below:
* The bar in red indicates where SYSTEMS DESIGN Co'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.
SYSTEMS DESIGN Co (TSE:3766) has a PEG Ratio of 0.91 as of Jul. 13, 2026. Price-earnings to growth ratio is the ratio of price-earnings to a company's earnings growth rate. View historical data on SYSTEMS DESIGN Co and its competitors. This is 97% below median its historical median of 28.34. Over the past decade, SYSTEMS DESIGN Co's PEG Ratio has ranged from 0.75 to 791.00. According to the industry distribution chart, SYSTEMS DESIGN Co ranks #305 out of 817 companies in the Software industry, placing it in the top 37.3%.
Is SYSTEMS DESIGN Co's PEG Ratio too high?
SYSTEMS DESIGN Co's current PEG Ratio of 0.91 is 97% below median its 10-year median of 28.34. Over the past 10 years, this metric has ranged from a low of 0.75 to a high of 791.00. The Software industry median PEG Ratio is 1.32. SYSTEMS DESIGN Co's value of 0.91 is 31.1% below this industry median. Based on the distribution chart, SYSTEMS DESIGN Co ranks #305 out of 817 companies in the Software industry, which is above the industry midpoint. Overall, SYSTEMS DESIGN Co has a GF Score™ of 71/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does SYSTEMS DESIGN Co's PEG Ratio compare to IBM and ACN?
According to the Software industry distribution chart, SYSTEMS DESIGN Co ranks #305 out of 817 companies for PEG Ratio. This puts SYSTEMS DESIGN Co in the upper half of its industry. The industry median PEG Ratio is 1.32. SYSTEMS DESIGN Co's value of 0.91 is 31.1% below this benchmark. Historically, SYSTEMS DESIGN Co's own PEG Ratio has ranged from 0.75 to 791.00 over the past decade. While the company's 10-year median is 28.34 vs. the industry median of 1.32, SYSTEMS DESIGN Co 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 Software company?
The median PEG Ratio among Software companies is 1.32, based on 817 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. SYSTEMS DESIGN Co's current PEG Ratio of 0.91 is 31.1% 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 SYSTEMS DESIGN Co and its competitors. For the Software industry, the median PEG Ratio is 1.32 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. SYSTEMS DESIGN Co's current PEG Ratio is 0.91, which is 97% below median its own 10-year median of 28.34. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is SYSTEMS DESIGN Co stock overvalued right now?
Based on GuruFocus' analysis, SYSTEMS DESIGN Co (TSE:3766) is currently considered Significantly Overvalued. The stock's GF Value™ is 円1,043.89, compared to a current price of 円1,419.00 — trading 35.9% above its estimated fair value. The current PEG Ratio is 0.91, which is 97% below median its 10-year median of 28.34 and 31.1% below the Software industry median of 1.32. SYSTEMS DESIGN Co's overall GF Score™ is 71/100 with 3 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 SYSTEMS DESIGN Co (TSE:3766), the current PEG Ratio is 0.91 as of Jul. 13, 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 SYSTEMS DESIGN Co (TSE:3766) Overvalued in 2026?
Based on GuruFocus' analysis, SYSTEMS DESIGN Co stock appears to be overvalued.
The current stock price of 円1,419.00 is trading 35.9% above its estimated GF Value™ of 円1,043.89.
GuruFocus considers SYSTEMS DESIGN Co to be Significantly Overvalued.
Key valuation signals for TSE:3766:
PEG Ratio: 0.91 (97% below median its 10-year median of 28.34)
GF Value™: 円1,043.89 vs. price of 円1,419.00 (35.9% above fair value)
Industry Position: 31.1% below the Software median (#305 of 817)
No single metric tells the full story. See the TSE:3766 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
SYSTEMS DESIGN Co Ltd is an information technology service provider in Japan. The business of the company includes system development, integration, outsourcing business, system operation, data solution, and product service. The services offered by the company include quality control system, accounting system, a repair service system, and a dealer management system.
71GF Score
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