Using the PEG framework with analyst consensus forward EPS growth of 23.0% plus 2.7% dividend yield, Citigroup Inc. has a fair value of $237.30 based on NTM EPS (FY2026) of $10.31. The current PEG ratio is 0.47.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
PEG is most informative for high-growth companies — the PEG sweet spot.
| EPS Growth RateForward | 20.3% |
| Dividend Yield | +2.7% |
| Adjusted Growth (clamped 8–25%) | 23.0% |
| Fair P/E | 23.0x |
| NTM EPS (FY2026) | $10.31 |
| Fair Value | $237.30 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $6.99 | — | — |
| FY2026E | $10.31 | +47.5% | 13 |
| FY2027E | $12.12 | +17.5% | 13 |
| FY2028E | $14.31 | +18.1% | 6 |
| FY2029E | $15.55 | +8.6% | 5 |
| FY2030E | $17.60 | +13.2% | 3 |
5Y Forward EPS CAGR: 20.3%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $22.0B | $10.14 | — |
| FY2022 | $14.8B | $7.00 | -31.0% |
| FY2023 | $9.2B | $4.04 | -42.3% |
| FY2024 | $12.7B | $5.95 | +47.3% |
| FY2025 | $14.3B | $6.99 | +17.5% |
4Y Historical EPS CAGR: -8.9%
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.