Using the PEG framework with analyst consensus forward EPS growth of 25.0% plus 0.9% dividend yield, General Motors Company has a fair value of $307.79 based on NTM EPS (FY2026) of $12.31. The current PEG ratio is 0.14.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
Growth above 25% is capped — hypergrowth may not be sustainable long-term.
| EPS Growth RateForward | 41.6% |
| Dividend Yield | +0.9% |
| Adjusted Growth (clamped 8–25%)Clamped | 25.0% |
| Fair P/E | 25.0x |
| NTM EPS (FY2026) | $12.31 |
| Fair Value | $307.79 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $3.27 | — | — |
| FY2026E | $12.31 | +276.5% | 16 |
| FY2027E | $14.12 | +14.7% | 15 |
| FY2028E | $14.56 | +3.2% | 6 |
| FY2029E | $18.25 | +25.3% | 5 |
| FY2030E | $18.61 | +2.0% | 3 |
5Y Forward EPS CAGR: 41.6%
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.
| Year | Net Income | EPS | YoY |
|---|
| FY2021 | $10.0B | $6.70 | — |
| FY2022 | $9.9B | $6.13 | -8.5% |
| FY2023 | $10.1B | $7.32 | +19.4% |
| FY2024 | $6.0B | $6.37 | -13.0% |
| FY2025 | $2.7B | $3.27 | -48.7% |
4Y Historical EPS CAGR: -16.4%