Leggett & Platt PEG
What is the PEG of Leggett & Platt?
The PEG of Leggett & Platt, Inc. is 2.33
What is the definition of PEG?
Price/earnings to growth (PEG) ratio is a stock’s P/E ratio divided by a predicted growth rate of its earnings for a time period of 5 years.
= forward PE / 5-year EPS growth rate
The PEG ratio is calculated by dividing the P/E ratio by the company's expected earnings growth rate in the next 5 years. Since using just the P/E ratio would make high-growth companies appear overvalued relative to others, the PEG ratio is considered to be a convenient approximation. PEG is a widely employed indicator of a stock's possible true value.
Similar to P/E ratios, a lower PEG means that the stock is undervalued more. It is favored by many over the price/earnings ratio because it also accounts for growth. The PEG ratio of 1 is sometimes said to represent a fair trade-off between the values of cost and the values of growth, indicating that a stock is reasonably valued given the expected growth. A crude analysis suggests that companies with PEG values between 0 and 1 may provide higher returns. A PEG Ratio can also be a negative number if a stock's present income figure is negative, (negative earnings) or if future earnings are expected to drop (negative growth). PEG ratios calculated from negative present earnings are viewed with skepticism as almost meaningless, other than as an indication of high investment risk.
PEG of companies in the Consumer Discretionary sector on NYSE compared to Leggett & Platt
What does Leggett & Platt do?
Leggett & Platt is an American diversified manufacturer that designs and produces various engineered components and products that can be found in homes and automobiles. The company offers steel rods, drawn wires, foam chemicals and additives, innersprings, specialty foams, private label finished mattresses, mattress foundations, wire forms for mattress foundations, adjustable beds, industrial sewing and quilting machines, and mattress packaging and glue drying equipment, as well as machines to produce innersprings for industrial users of steel rods and wires, manufacturers of finished bedding, big box and e-commerce retailers, bedding brands and mattress retailers, department stores, and home improvement centers.
Companies with peg similar to Leggett & Platt
- Alfa Laval AB has PEG of 2.32
- Atlas Copco AB has PEG of 2.32
- The Sage Plc has PEG of 2.32
- Dominion Inc has PEG of 2.33
- Schneider Electric SE has PEG of 2.33
- OTC Markets has PEG of 2.33
- Leggett & Platt has PEG of 2.33
- Digital Realty Trust has PEG of 2.33
- Cantel Medical Corp has PEG of 2.33
- Emera has PEG of 2.33
- Schneider Electric SE has PEG of 2.34
- L'Oréal SA has PEG of 2.34
- 3M has PEG of 2.34