Using the PEG framework with analyst consensus forward EPS growth of 18.7% plus 1.3% dividend yield, Nucor Corporation has a fair value of $228.96 based on NTM EPS (FY2026) of $12.27. The current PEG ratio is 0.73.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
PEG is most informative for high-growth companies — the PEG sweet spot.
| EPS Growth RateForward | 17.3% |
| Dividend Yield | +1.3% |
| Adjusted Growth (clamped 8–25%) | 18.7% |
| Fair P/E | 18.7x |
| NTM EPS (FY2026) | $12.27 |
| Fair Value | $228.96 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $7.52 | — | — |
| FY2026E | $12.27 | +63.2% | 8 |
| FY2027E | $13.59 | +10.7% | 8 |
| FY2028E | $14.12 | +3.9% | 6 |
| FY2029E | $15.11 | +7.1% | 5 |
| FY2030E | $16.71 | +10.5% | 3 |
5Y Forward EPS CAGR: 17.3%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $6.8B | $23.16 | — |
| FY2022 | $7.6B | $28.79 | +24.3% |
| FY2023 | $4.5B | $18.00 | -37.5% |
| FY2024 | $2.0B | $8.46 | -53.0% |
| FY2025 | $1.7B | $7.52 | -11.1% |
4Y Historical EPS CAGR: -24.5%
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.