ITNEUTRAL

IT PEG Ratio Analysis

2.61x

Updated 245h ago·SEC filings & market data

Key Takeaway

The PEG ratio (Price-to-Earnings divided by earnings growth rate) of 2.61x suggests the stock's price is relatively high compared to its expected earnings growth—a value above 1.0x often indicates the stock may be overvalued relative to growth prospects.

Sector Performance

81th percentile

IT

2.61x

Sector Median

0.97x

Sector Avg

2.92x

Prior Period

2.46x(Jul 2026)

↓ Declining
📊

Deep Analysis

The PEG ratio (Price-to-Earnings divided by earnings growth rate) of 2.61x suggests the stock's price is relatively high compared to its expected earnings growth—a value above 1.0x often indicates the stock may be overvalued relative to growth prospects.

Against sector peers, this stock's PEG stands well above the sector median of 0.94x, placing it in the 80th percentile, meaning only 20% of peers have a higher ratio. Trend data is limited: year-over-year change is not available, but quarter-over-quarter the ratio rose 6.1% from 2.46x to 2.61x, showing a recent upward move. The combination of a high absolute level and a rising trend points to increased valuation risk, as the stock is becoming more expensive relative to growth compared to both its sector and its own recent history. This metric contradicts the overall NEUTRAL verdict—a neutral stance would typically be supported by a PEG near the sector median or a stable trend, not by a level well above peers that is also climbing.

Frequently Asked Questions

What does the PEG Ratio tell investors about IT?

The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.

How is the PEG Ratio calculated?

PEG Ratio is calculated as: P/E Ratio / EPS Growth Rate.

Who are IT's closest peers by PEG Ratio?

The closest peers by PEG Ratio include: EBAY (8.15x), VTR (8.27x), DOV (8.39x), MTD (8.61x), KR (9.25x).

The Formula

P/E Ratio / EPS Growth Rate

Why It Matters

The PEG ratio adjusts P/E for expected growth. A PEG below 1.0 may signal undervaluation; above 2.0 may suggest the growth story is priced in.

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IT

2.61x

Sector Median

0.97x

Sector Avg

2.92x

How IT's PEG Ratio compares to sector peers.

Not financial advice. Research tool only. Data may be delayed.