Using the PEG framework with analyst consensus forward EPS growth of 25.0% plus 5.0% dividend yield, Skyworks Solutions, Inc. has a fair value of $117.46 based on NTM EPS (FY2026) of $4.70. The current PEG ratio is 0.42.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
PEG is most informative for high-growth companies — the PEG sweet spot.
| EPS Growth RateForward | 23.9% |
| Dividend Yield | +5.0% |
| Adjusted Growth (clamped 8–25%)Clamped | 25.0% |
| Fair P/E | 25.0x |
| NTM EPS (FY2026) | $4.70 |
| Fair Value | $117.46 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $3.08 | — | — |
| FY2026E | $4.70 | +52.6% | 18 |
| FY2027E | $4.97 | +5.7% | 16 |
| FY2028E | $5.86 | +17.9% | 8 |
3Y Forward EPS CAGR: 23.9%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $1.5B | $8.97 | — |
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.
| FY2022 | $1.3B | $7.81 | -12.9% |
| FY2023 | $982.8M | $6.13 | -21.5% |
| FY2024 | $596.0M | $3.69 | -39.8% |
| FY2025 | $477.1M | $3.08 | -16.5% |
4Y Historical EPS CAGR: -23.5%