Using the PEG framework with analyst consensus forward EPS growth of 23.0% plus 0.1% dividend yield, GE Vernova Inc. has a fair value of $336.55 based on NTM EPS (FY2026) of $14.65. The current PEG ratio is 2.63.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
PEG is most informative for high-growth companies — the PEG sweet spot.
| EPS Growth RateForward | 22.9% |
| Dividend Yield | +0.1% |
| Adjusted Growth (clamped 8–25%) | 23.0% |
| Fair P/E | 23.0x |
| NTM EPS (FY2026) | $14.65 |
| Fair Value | $336.55 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $17.69 | — | — |
| FY2026E | $14.65 | -17.2% | 22 |
| FY2027E | $22.45 | +53.2% | 22 |
| FY2028E | $30.91 | +37.7% | 22 |
| FY2029E | $41.13 | +33.1% | 15 |
| FY2030E | $49.51 | +20.4% | 11 |
5Y Forward EPS CAGR: 22.9%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $-633.0M | $-2.33 | — |
| FY2022 | $-2.7B | $-10.06 | — |
| FY2023 | $-438.0M | $-1.61 | — |
| FY2024 | $1.6B | $5.58 | — |
| FY2025 | $4.9B | $17.69 | +217.0% |
4Y Historical EPS CAGR: 217.0%
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.