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Rave Restaurant GroupRAVE 79 Peter Lynch Fair Value is $3.86 as of Jul. 26, 2026, which is 468% above its 10-year median of 0.68. GuruFocus rates RAVE with a GF Score™ of 79/100 and a GF Value™ of $2.75 (Modestly Overvalued). Among 75 Restaurants companies, Rave Restaurant Group ranks better than 66.67% on this metric.
Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year. Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years. If 5-Year Growth Rate is greater than 25% a year, we use 25. If 5-Year Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.
Here, as of today, Rave Restaurant Group's PEG is 1. Rave Restaurant Group's 5-Year TTM EBITDA Growth Rate is 18.39.
Rave Restaurant Group's EPS without NRI for the trailing twelve months (TTM) ended in Mar. 2026 was $0.21. Therefore, the Peter Lynch Fair Value for today is $3.86.
The historical rank and industry rank for Rave Restaurant Group's Peter Lynch Fair Value or its related term are showing as below:
RAVE'
s Price-to-Peter-Lynch-Fair-Value Range Over the Past 10 Years
Min: 0.58 Med: 0.68 Max: 0.82
Current: 0.81
During the past 13 years, the highest Price to Peter Lynch Fair Value Ratio of Rave Restaurant Group was 0.82. The lowest was 0.58. And the median was 0.68.
RAVE's Price-to-Peter-Lynch-Fair-Value is ranked better than 66.67% of 75
companies
in the Restaurants industry
Industry Median: 1.17
vs RAVE: 0.81
Note: Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart.
Rave Restaurant Group (NAS:RAVE) Peter Lynch Fair Value Explanation
Peter Lynch Fair Value applies to growing companies. The ideal range for the growth rate is between 10 - 20% a year.
Peter Lynch thinks that the fair P/E value for a growth company equals its growth rate, that is PEG = 1. The earnings here is trailing twelve month (TTM) earnings. For non-bank companies, the growth rate we use is the average growth rate for EBITDA per share over the past 5 years. For Banks, the growth rate we use is the average growth rate for Book Value per share over the past 5 years.
Please don't confuse Peter Lynch Fair Value with the value reached in Peter Lynch Chart. In Peter Lynch chart, a fixed P/E ratio of 15 is used to draw the Earnings Line. Therefore the value reached has a P/E ratio of 15. But in Peter Lynch Fair Value calculation, P/E equals to the growth rate of EBITDA per share over the past 5 years, which is 18.39 instead of 15 in this case.
Rave Restaurant Group's Price to Peter Lynch Fair Value Ratio for today is calculated as
Price to Peter Lynch Fair Value
=
Share Price
/
Peter Lynch Fair Value
=
3.14
/
3.86
=
0.81
* 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.
Rave Restaurant Group Peter Lynch Fair Value Related Terms
Rave Restaurant Group Peter Lynch Fair Value Historical Data
* Premium members only.
The historical data trend for Rave Restaurant Group's Peter Lynch Fair Value 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.
Rave Restaurant Group Peter Lynch Fair Value Chart
RAVE vs THCH, STKS, ARKR: Peter Lynch Fair Value Comparison
For the Restaurants subindustry, Rave Restaurant Group's Price-to-Peter-Lynch-Fair-Value, along with its competitors' market caps and Price-to-Peter-Lynch-Fair-Value 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.
Rave Restaurant Group Price-to-Peter-Lynch-Fair-Value vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Rave Restaurant Group's Price-to-Peter-Lynch-Fair-Value distribution charts can be found below:
* The bar in red indicates where Rave Restaurant Group's Price-to-Peter-Lynch-Fair-Value falls into.
Rave Restaurant Group's EPS without NRI for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $0.21.
* 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.
** Please be aware that the 5-Year TTM EBITDA Growth Rate is calculated based on TTM data over the last 5 years. For quarterly reported companies, the TTM data adds up the quarterly data reported by the company within the most recent 12 months. For companies that report semi-annually, annually, or do not have enough quarterly data, GuruFocus uses the annual data as the TTM data.
If 5-Year Earnings Growth Rate is greater than 25% a year, we use 25.
If 5-Year Earnings Growth Rate is smaller than 5% a year, we do not calculate Peter Lynch Fair Value.
Please note that we use the 5-year average growth rate of EBITDA per share as the growth rate for non-bank companies, as EBITDA growth is subject to less manipulations than net earnings per share. For banks, we use the 5-year average growth rate of Book Value per share as the growth rate. The reason is that EBITDA is not applicable to Banks and Book value is a relative important measurement for Banks. In the calculation, PEG=1 because Peter Lynch thinks that the fair P/E ratio of the growth stock is equal to its earnings growth rate.
Rave Restaurant Group (RAVE) has a Peter Lynch Fair Value of $3.86 as of Jul. 26, 2026. Peter Lynch Fair Value is the stock value based on a company's current earnings and five-year earnings growth, assuming a PEG of one. View historical data on Rave Restaurant Group and its competitors. This is 468% above median its historical median of 0.68. Over the past decade, Rave Restaurant Group's Peter Lynch Fair Value has ranged from 0.58 to 0.82. According to the industry distribution chart, Rave Restaurant Group ranks #25 out of 75 companies in the Restaurants industry, placing it in the top 33.3%.
Is Rave Restaurant Group's Peter Lynch Fair Value too high?
Rave Restaurant Group's current Peter Lynch Fair Value of $3.86 is 468% above median its 10-year median of 0.68. Over the past 10 years, this metric has ranged from a low of 0.58 to a high of 0.82. The Restaurants industry median Peter Lynch Fair Value is 1.17. Rave Restaurant Group's value of $3.86 is 229.9% above this industry median. Based on the distribution chart, Rave Restaurant Group ranks #25 out of 75 companies in the Restaurants industry, which is above the industry midpoint. Overall, Rave Restaurant Group has a GF Score™ of 79/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Rave Restaurant Group's Peter Lynch Fair Value compare to THCH and STKS?
According to the Restaurants industry distribution chart, Rave Restaurant Group ranks #25 out of 75 companies for Peter Lynch Fair Value. This puts Rave Restaurant Group in the upper half of its industry. The industry median Peter Lynch Fair Value is 1.17. Rave Restaurant Group's value of $3.86 is 229.9% above this benchmark. Historically, Rave Restaurant Group's own Peter Lynch Fair Value has ranged from 0.58 to 0.82 over the past decade. While the company's 10-year median is 0.68 vs. the industry median of 1.17, Rave Restaurant Group has consistently been above 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 Peter Lynch Fair Value for a Restaurants company?
The median Peter Lynch Fair Value among Restaurants companies is 1.17, based on 75 companies in the industry. Companies in the top quartile (top 25%) have a Peter Lynch Fair Value significantly above this median, while those in the bottom quartile fall well below. However, Peter Lynch Fair Value should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Rave Restaurant Group's current Peter Lynch Fair Value of $3.86 is 229.9% above 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 Peter Lynch Fair Value mean?
A high Peter Lynch Fair Value can signal that a stock is expensive relative to its fundamentals. Peter Lynch Fair Value is the stock value based on a company's current earnings and five-year earnings growth, assuming a PEG of one. View historical data on Rave Restaurant Group and its competitors. For the Restaurants industry, the median Peter Lynch Fair Value is 1.17 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Rave Restaurant Group's current Peter Lynch Fair Value is $3.86, which is 468% above median its own 10-year median of 0.68. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Rave Restaurant Group stock overvalued right now?
Based on GuruFocus' analysis, Rave Restaurant Group (RAVE) is currently considered Modestly Overvalued. The stock's GF Value™ is $2.75, compared to a current price of $3.14 — trading 14.2% above its estimated fair value. The current Peter Lynch Fair Value is $3.86, which is 468% above median its 10-year median of 0.68 and 229.9% above the Restaurants industry median of 1.17. Rave Restaurant Group's overall GF Score™ is 79/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Peter Lynch Fair Value calculated?
Peter Lynch Fair Value is calculated from a company's financial statements. For Rave Restaurant Group (RAVE), the current Peter Lynch Fair Value is $3.86 as of Jul. 26, 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 Rave Restaurant Group (RAVE) Overvalued in 2026?
Based on GuruFocus' analysis, Rave Restaurant Group stock appears to be overvalued.
The current stock price of $3.14 is trading 14.2% above its estimated GF Value™ of $2.75.
GuruFocus considers Rave Restaurant Group to be Modestly Overvalued.
Key valuation signals for RAVE:
Peter Lynch Fair Value: $3.86 (468% above median its 10-year median of 0.68)
GF Value™: $2.75 vs. price of $3.14 (14.2% above fair value)
Industry Position: 229.9% above the Restaurants median (#25 of 75)
No single metric tells the full story. See the RAVE stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Rave Restaurant Group Inc operates and franchises pizza buffet, delivery/carry-out, express restaurants, and ghost kitchens. It operates restaurants under the brand name, Pizza Inn, and Pie Five Pizza Company. It has three operating segments. The Pizza Inn Franchising and Pie Five Franchising segments establish franchisees, licensees, and territorial rights. The corporate administration and other segments. The Pizza Inn Franchising segment accounts for the majority of the company's revenue. Geographically, it generates the majority of the revenue from the United States.
79GF Score
Get the complete analysis for RAVE
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