Using the PEG framework with analyst consensus forward EPS growth of 10.9% plus 2.9% dividend yield, DTE Energy Company has a fair value of $84.19 based on NTM EPS (FY2026) of $7.72. The current PEG ratio is 1.72.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
PEG works well for steady growers with predictable earnings.
| EPS Growth RateForward | 8.0% |
| Dividend Yield | +2.9% |
| Adjusted Growth (clamped 8–25%) | 10.9% |
| Fair P/E | 10.9x |
| NTM EPS (FY2026) | $7.72 |
| Fair Value | $84.19 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $7.06 | — | — |
| FY2026E | $7.72 | +9.4% | 8 |
| FY2027E | $8.29 | +7.3% | 8 |
| FY2028E | $8.97 | +8.3% | 8 |
| FY2029E | $9.67 | +7.8% | 7 |
| FY2030E | $10.38 | +7.3% | 7 |
5Y Forward EPS CAGR: 8.0%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $907.0M | $4.67 | — |
| FY2022 | $1.1B | $5.52 | +18.2% |
| FY2023 | $1.4B | $6.76 | +22.5% |
| FY2024 | $1.4B | $6.77 | +0.1% |
| FY2025 | $1.5B | $7.06 | +4.3% |
4Y Historical EPS CAGR: 10.9%
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.