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Alcon (CHIX:ALCZ) PEG Ratio : 3.11 (As of Apr. 27, 2024)


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What is Alcon 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, Alcon's PE Ratio without NRI is 29.27. Alcon's 5-Year EBITDA growth rate is 9.40%. Therefore, Alcon's PEG Ratio for today is 3.11.

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

CHIX:ALCz' s PEG Ratio Range Over the Past 10 Years
Min: 3.09   Med: 12.48   Max: 20.24
Current: 3.09


During the past 8 years, Alcon's highest PEG Ratio was 20.24. The lowest was 3.09. And the median was 12.48.


CHIX:ALCz's PEG Ratio is ranked worse than
66.8% of 247 companies
in the Medical Devices & Instruments industry
Industry Median: 1.84 vs CHIX:ALCz: 3.09

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


Alcon PEG Ratio Historical Data

The historical data trend for Alcon'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.

Alcon PEG Ratio Chart

Alcon Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
PEG Ratio
Get a 7-Day Free Trial - - 21.92 5.74 -

Alcon 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 5.74 - - - -

Competitive Comparison of Alcon's PEG Ratio

For the Medical Instruments & Supplies subindustry, Alcon'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.


Alcon's PEG Ratio Distribution in the Medical Devices & Instruments Industry

For the Medical Devices & Instruments industry and Healthcare sector, Alcon's PEG Ratio distribution charts can be found below:

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



Alcon 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.

Alcon's PEG Ratio for today is calculated as

PEG Ratio=PE Ratio without NRI/5-Year EBITDA Growth Rate*
=29.268292682927/9.40
=3.11

* 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.


Alcon  (CHIX:ALCz) 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.


Alcon PEG Ratio Related Terms

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


Alcon (CHIX:ALCZ) Business Description

Traded in Other Exchanges
Address
Chemin de Blandonnet 8, Royce Bedward, Vernier, Geneva, CHE, 1214
Alcon is one of the leading visioncare companies in the world. Following nine years as a Novartis subsidiary, it was spun off as a public company in April 2019. Alcon operates in two segments: visioncare and surgical. Visioncare comprises contact lenses, lenscare solutions, and a suite of ocular health products. With brands like Dailies, Total1, and Air Optix, Alcon controls one fourth of the U.S. contact lens market. Surgical comprises intraocular lenses, ophthalmic surgical equipment, and consumables used during surgeries. Its main products include Centurion, a phacoemulsification device used during cataract surgeries, and a portfolio of IOLs including PanOptix and Vivity. Alcon has one of the largest installed bases of eye surgical equipment in the world.

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