Using the PEG framework with analyst consensus forward EPS growth of 14.3% plus 0.6% dividend yield, AMETEK, Inc. has a fair value of $115.34 based on NTM EPS (FY2026) of $8.06. The current PEG ratio is 1.84.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
PEG works well for steady growers with predictable earnings.
| EPS Growth RateForward | 13.7% |
| Dividend Yield | +0.6% |
| Adjusted Growth (clamped 8–25%) | 14.3% |
| Fair P/E | 14.3x |
| NTM EPS (FY2026) | $8.06 |
| Fair Value | $115.34 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $6.40 | — | — |
| FY2026E | $8.06 | +25.9% | 8 |
| FY2027E | $8.71 | +8.1% | 8 |
| FY2028E | $9.41 | +8.1% | 5 |
3Y Forward EPS CAGR: 13.7%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $990.1M | $4.25 | — |
| FY2022 | $1.2B | $5.01 | +17.9% |
| FY2023 | $1.3B | $5.67 | +13.2% |
| FY2024 | $1.4B | $5.93 | +4.6% |
| FY2025 | $1.5B | $6.40 | +7.9% |
4Y Historical EPS CAGR: 10.8%
The PEG Fair Value uses the Price/Earnings-to-Growth framework. A stock is fairly valued when its P/E ratio equals its earnings growth rate (PEG = 1.0). This model adds dividend yield to the growth rate per the original PEGY formula.
Growth rate priority: analyst consensus forward EPS CAGR (when ≥ 3 analysts cover the stock), falling back to historical EPS CAGR. Using EPS rather than net income avoids distortion from share buybacks. The growth rate is clamped between 8% and 25% — below 8% would undervalue stable earners, while above 25% would overvalue unsustainable spikes.