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Essential Utilities (Essential Utilities) PEG Ratio : 1.52 (As of Apr. 26, 2024)


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What is Essential Utilities 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, Essential Utilities's PE Ratio without NRI is 20.22. Essential Utilities's 5-Year EBITDA growth rate is 13.30%. Therefore, Essential Utilities's PEG Ratio for today is 1.52.

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

WTRG' s PEG Ratio Range Over the Past 10 Years
Min: 1.17   Med: 7.85   Max: 68.65
Current: 1.52


During the past 13 years, Essential Utilities's highest PEG Ratio was 68.65. The lowest was 1.17. And the median was 7.85.


WTRG's PEG Ratio is ranked worse than
50.35% of 288 companies
in the Utilities - Regulated industry
Industry Median: 1.51 vs WTRG: 1.52

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


Essential Utilities PEG Ratio Historical Data

The historical data trend for Essential Utilities'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.

Essential Utilities PEG Ratio Chart

Essential Utilities Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
PEG Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only - - 7.00 2.59 1.27

Essential Utilities 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 2.59 2.15 1.72 1.31 1.27

Competitive Comparison of Essential Utilities's PEG Ratio

For the Utilities - Regulated Water subindustry, Essential Utilities'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.


Essential Utilities's PEG Ratio Distribution in the Utilities - Regulated Industry

For the Utilities - Regulated industry and Utilities sector, Essential Utilities's PEG Ratio distribution charts can be found below:

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



Essential Utilities 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.

Essential Utilities's PEG Ratio for today is calculated as

PEG Ratio=PE Ratio without NRI/5-Year EBITDA Growth Rate*
=20.215588723051/13.30
=1.52

* 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.


Essential Utilities  (NYSE:WTRG) 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.


Essential Utilities PEG Ratio Related Terms

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


Essential Utilities (Essential Utilities) Business Description

Traded in Other Exchanges
Address
762 West Lancaster Avenue, Bryn Mawr, PA, USA, 19010-3489
Essential Utilities is a Pennsylvania-based holding company for U.S. water, wastewater, and natural gas distribution utilities. The company's water business serves 3 million people in eight states. Nearly three fourths of its water earnings come from Pennsylvania, primarily suburban Philadelphia. Its Peoples subsidiary serves more than 700,000 gas distribution customers in Pennsylvania and Kentucky. Essential exited its noncore competitive water and energy services businesses.
Executives
Roderick K West director 1600 PERDIDO STREET, BLDG 505, NEW ORLEANS LA 70112
Arnold Colleen officer: President 762 W. LANCASTER AVENUE, BRYN MAWR PA 19010
Chris Franklin officer: Aqua America Southern Oper 762 W.LANCASTER AVE, BRYN MAWR PA 19010
Michael Huwar officer: President 762 W. LANCASTER AVENUE, BRYN MAWR PA 19010
Ellen T Ruff director 762, W LANCASTER AVE, BRYN MAWR PA 19010
Wilbert Bryan Lewis director 762 W. LANCASTER AVENUE, BRYN MAWR PA 19010
Robert A Rubin officer: Chief Accounting Officer 762 W LANCASTER AVE, BRYN MAWR PA 19010
Daniel Schuller officer: Executive Vice President 40 SACHEM ROAD, GREENWICH CT 06830
David Alan Ciesinski director H. J. HEINZ COMPANY, P.O. BOX 57, PITTSBURGH PA 15230
Edwina Kelly director 510 MADISON AVENUE, 15FL, NEW YORK NY 10022
Richard Scott Fox officer: Chief Operating Officer 14812 BALLANTYNE COUNTRY CLUB DRIVE, CHARLOTTE NC 28277
Matthew Rhodes officer: EVP, Strategy & Corp Dev 762 LANCASTER AVE, BRYN MAWR PA 19010
Wendy Franks director ONE QUEEN STREET EAST, SUITE 2500, TORONTO A6 M5C 2W5
Hilferty Daniel J Iii director C/O FS INVESTMENT CORPORATION III, CIRA CENTRE, 2929 ARCH STREET, SUITE 675, PHILADELPHIA PA 19104
Christopher Paul Luning officer: Sr. VP, General Counsel & Sec 762 W. LANCASTER AVE, BRYN MAWR PA 19010