Using the PEG framework with analyst consensus forward EPS growth of 13.5% plus 0.6% dividend yield, Old Dominion Freight Line, Inc. has a fair value of $67.56 based on NTM EPS (FY2026) of $5.00. The current PEG ratio is 2.80.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
PEG works well for steady growers with predictable earnings.
| EPS Growth RateForward | 12.9% |
| Dividend Yield | +0.6% |
| Adjusted Growth (clamped 8–25%) | 13.5% |
| Fair P/E | 13.5x |
| NTM EPS (FY2026) | $5.00 |
| Fair Value | $67.56 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $4.83 | — | — |
| FY2026E | $5.00 | +3.6% | 16 |
| FY2027E | $6.00 | +20.0% | 17 |
| FY2028E | $6.82 | +13.6% | 7 |
| FY2029E | $7.85 | +15.1% | 3 |
4Y Forward EPS CAGR: 12.9%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $1.0B | $4.45 | — |
| FY2022 | $1.4B | $6.09 | +36.9% |
| FY2023 | $1.2B | $5.63 | -7.6% |
| FY2024 | $1.2B | $5.48 | -2.7% |
| FY2025 | $1.0B | $4.83 | -11.9% |
4Y Historical EPS CAGR: 2.1%
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.