PEGY Ratio

The Price to Earnings Growth and Yield Ratio, or PEGY Ratio, tries to find cheap growth companies which are paying good dividend yields and is calculated as the PE Ratio divided by the sum of the Earnings Growth Rate and the Dividend Yield. This version uses the rolling current PE Ratio and Dividend Yield with 12m forward rolling EPS Growth rate.

Stockopedia explains PEGY

This is used by Peter Lynch and inversely by John Neff (who calls it the total return ratio).

For stocks that pay a substantial dividend, the PEGY may be an even better measure than PEG.

As with the PEG, the numbers are based on consensus analyst forecasts and therefore subject to forecasting errors.

This is measured on a rolling basis and earnings are diluted and normalised.

Ranks: Low to HighAvailable in screenerAvailable as Table Column

The 5 highest PEGY Stocks in the Market

TickerNamePEGYStockRank™
LON:NARFNarf Industries0.021
LON:CNSCorero Network Security0.042
LON:TMGMission0.053
LON:CRPRJames Cropper0.079
LON:SAGASaga0.038