Is Quest Diagnostics Incorporated (DGX) Undervalued?
Based on the current stock price of $175.94 and a P/E ratio of 20.65,Quest Diagnostics Incorporated has a PEG ratio of 2.09.
The Short Answer:
Most analysts consider a PEG ratio below 1.0 to be undervalued. With a ratio of 2.09, DGX appears to be potentially overvalued relative to its growth rate of 9.87%.
Based on a PEG ratio of 1.77 (adjusted for dividends).
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How we analyzed DGX
We calculated the PEG (Price/Earnings-to-Growth) ratio by taking the Price-to-Earnings Ratio of 20.65and dividing it by the annual growth rate of 9.87%.
PEG = 20.65 (P/E) ÷ 9.87 (Growth) = 2.09
Frequently Asked Questions about DGX
What is the current PEG Ratio for Quest Diagnostics Incorporated (DGX)?+
The current PEG Ratio for Quest Diagnostics Incorporated is 2.09. A PEG ratio below 1.0 generally suggests the stock may be undervalued relative to its growth.
Is DGX stock undervalued right now?+
Based on the PEG ratio of 2.09, Quest Diagnostics Incorporated appears to be potentially overvalued. Investors typically look for a PEG ratio below 1.0 to find undervalued growth stocks.
What is the PEGY Ratio for DGX?+
The PEGY ratio for Quest Diagnostics Incorporated is 1.77. This metric accounts for dividend yield (1.82%), providing a more complete valuation picture.