Cryptocurrency Q&A
What is a peg in stocks?
What is a peg in stocks?
alexander_rose_writer
Fri Apr 25 2025
|
7
answers
1810
I'm trying to understand the concept of a peg in the context of stocks. I've heard this term being used in financial discussions, but I'm not quite sure what it means or how it applies to the stock market.
7 answers
KatanaSharp
Sun Apr 27 2025
It combines two critical components: a stock's price-to-earnings (P/E) ratio and its earnings growth rate over a specific period.
Was this helpful?
120
66
CryptoPioneer
Sun Apr 27 2025
A PEG ratio below 1 is often considered attractive, suggesting that a stock may be undervalued given its earnings growth potential.
Was this helpful?
157
37
ShintoBlessed
Sun Apr 27 2025
The P/E ratio measures the price of a stock relative to its earnings per share, providing insight into how much investors are willing to pay for each dollar of earnings.
Was this helpful?
261
31
EtherealVoyager
Sun Apr 27 2025
Meanwhile, the earnings growth rate indicates the percentage increase in a company's earnings per share over a defined timeframe.
Was this helpful?
315
66
emma_grayson_journalist
Sun Apr 27 2025
The Price/Earnings-to-Growth (PEG) ratio serves as an essential metric in evaluating a stock's potential.
Was this helpful?
380
74
Load 5 more related questions
