ValueTrack

Stock price divided by estimated earnings per share over the next 12 months. Measures how much you are paying for each dollar of expected future profit.

A Forward P/E of 30 means you pay $30 for every $1 the company is expected to earn next year.

Lower is cheaper, but context matters: a low Forward P/E on a cyclical stock may reflect peak earnings that are expected to decline, not genuine value.

P/E ratio divided by the expected earnings growth rate. Adjusts the valuation multiple for growth: a high P/E on a fast-growing company may still represent fair value, while a moderate P/E on a slow grower may be expensive.

A PEG of 1.0 is generally considered fair value: the P/E matches the growth rate. Below 1.0 suggests you are paying less than the growth warrants. Above 2.0 suggests the price has outrun the growth outlook.

Example: A stock at 60x P/E growing 60% per year has a PEG of 1.0. A stock at 30x P/E growing 10% per year has a PEG of 3.0. The more expensive-looking stock is actually cheaper relative to its growth.

PEG is not shown when earnings growth is negative. Values shown as <0.1 may reflect cyclical peak earnings rather than sustained value - treat with caution for cyclical stocks like memory semiconductors.

Free cash flow divided by market capitalization, expressed as a percentage. Represents the cash return the business generates relative to its market value. Similar in concept to a bond yield, but for equities.

A 5% FCF yield means the company generates $5 in free cash for every $100 of market value. Higher yields typically indicate mature, cash-generative businesses. Low yields are common for high-growth companies where the market is pricing in future cash generation rather than current output.

Useful for comparing companies at similar growth stages. Less meaningful when comparing a high-growth name against a mature cash cow.

Market capitalization divided by trailing twelve-month revenue. Measures what you pay for each dollar of the company's sales.

Revenue is less susceptible to accounting adjustments than earnings, which makes Price/Sales useful as a cross-check against P/E-based metrics. When two companies trade at a similar Price/Sales ratio but have very different P/E ratios, the gap usually reflects a difference in profit margins, or the market's expectation that margins will change.

Best used for comparisons within the same industry. A 15x Price/Sales ratio means very different things for a high-margin software company versus a low-margin manufacturer.

Enterprise value divided by earnings before interest, taxes, depreciation, and amortisation. Enterprise value is market cap plus total debt minus cash. It represents what an acquirer would actually pay for the entire business.

Because EV/EBITDA uses enterprise value rather than market cap, it adjusts for differences in capital structure. Two companies with the same P/E can look very different on EV/EBITDA if one carries heavy debt and the other sits on net cash. This makes it especially useful when comparing capital-intensive semiconductor companies like INTC (high debt) against NVDA (net cash).

EBITDA strips out non-cash charges like depreciation, so it better reflects operating cash generation for companies with large fixed asset bases, which is common across the semiconductor industry. Lower is cheaper, but very low values on cyclical stocks may reflect peak-cycle earnings.

Share price multiplied by total shares outstanding. Represents the total market value of the company.

Market cap is the denominator in both FCF Yield and Price/Sales, so changes in price directly affect those metrics. It also provides context for scale: a $2 billion company and a $500 billion company may show similar valuation ratios, but they operate at fundamentally different scales with different risk profiles and growth dynamics.

Enter up to 4 tickers and its current stock price to compare valuation side-by-side. No single metric tells the full story. Use them in combination:

Forward P/E answers whether the stock is expensive relative to expected earnings.
PEG answers whether that price is justified by the growth rate.
Price/Sales provides a margin-neutral view. It is useful for spotting cases where earnings are temporarily depressed but revenue is strong.
FCF Yield shows current cash generation relative to what you pay. Separates companies that are producing cash today from those priced on future expectations.
EV/EBITDA adjusts for capital structure - debt and cash - so you can compare companies on a level playing field regardless of how they are financed.
Market Cap provides the scale context for all of the above.

• Fundamental metrics (revenue, net income, FCF, shares): SEC EDGAR XBRL filings (most recent 4 quarters)
• Forward estimates (EPS, growth rate): Analyst consensus via Yahoo Finance
• Coverage: U.S. public companies with standard GAAP reporting
• Not supported: Banks, REITs, insurance companies, foreign-listed companies, recent IPOs

Forward P/E and PEG require analyst estimates. If estimates are unavailable or earnings are negative, these metrics will display as N/A.

Values may differ from other sources due to differences in TTM calculation methodology, share count timing, and GAAP concept selection. This tool is for informational purposes only and does not constitute financial advice.