Using the PEG framework with analyst consensus forward EPS growth of 17.6% plus 1.0% dividend yield, Dover Corporation has a fair value of $187.00 based on NTM EPS (FY2026) of $10.60. The current PEG ratio is 1.13.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
PEG is most informative for high-growth companies — the PEG sweet spot.
| EPS Growth RateForward | 16.7% |
| Dividend Yield | +1.0% |
| Adjusted Growth (clamped 8–25%) | 17.6% |
| Fair P/E | 17.6x |
| NTM EPS (FY2026) | $10.60 |
| Fair Value | $187.00 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $7.92 | — | — |
| FY2026E | $10.60 | +33.9% | 14 |
| FY2027E | $11.56 | +9.0% | 14 |
| FY2028E | $12.57 | +8.8% | 9 |
3Y Forward EPS CAGR: 16.7%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $1.1B | $7.74 | — |
| FY2022 | $1.1B | $7.42 | -4.1% |
| FY2023 | $1.1B | $7.52 | +1.3% |
| FY2024 | $2.7B | $19.45 | +158.6% |
| FY2025 | $1.1B | $7.92 | -59.3% |
4Y Historical EPS CAGR: 0.6%
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.