Using the PEG framework with analyst consensus forward EPS growth of 18.9% plus 1.3% dividend yield, Nasdaq, Inc. has a fair value of $74.19 based on NTM EPS (FY2026) of $3.92. 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 | 17.7% |
| Dividend Yield | +1.3% |
| Adjusted Growth (clamped 8–25%) | 18.9% |
| Fair P/E | 18.9x |
| NTM EPS (FY2026) | $3.92 |
| Fair Value | $74.19 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $3.09 | — | — |
| FY2026E | $3.92 | +26.8% | 10 |
| FY2027E | $4.41 | +12.6% | 10 |
| FY2028E | $5.04 | +14.2% | 5 |
3Y Forward EPS CAGR: 17.7%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $1.2B | $2.35 | — |
| FY2022 | $1.1B | $2.26 | -3.8% |
| FY2023 | $1.1B | $2.08 | -8.0% |
| FY2024 | $1.1B | $1.93 | -7.2% |
| FY2025 | $1.8B | $3.09 | +60.1% |
4Y Historical EPS CAGR: 7.1%
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.