Using the PEG framework with analyst consensus forward EPS growth of 15.7% plus 0.3% dividend yield, Thermo Fisher Scientific Inc. has a fair value of $385.83 based on NTM EPS (FY2026) of $24.57. The current PEG ratio is 1.27.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
PEG is most informative for high-growth companies — the PEG sweet spot.
| EPS Growth RateForward | 15.4% |
| Dividend Yield | +0.3% |
| Adjusted Growth (clamped 8–25%) | 15.7% |
| Fair P/E | 15.7x |
| NTM EPS (FY2026) | $24.57 |
| Fair Value | $385.83 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $17.74 | — | — |
| FY2026E | $24.57 | +38.5% | 21 |
| FY2027E | $26.83 | +9.2% | 20 |
| FY2028E | $29.73 | +10.8% | 14 |
| FY2029E | $32.97 | +10.9% | 9 |
| FY2030E | $36.24 | +9.9% | 13 |
5Y Forward EPS CAGR: 15.4%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $7.7B | $19.46 | — |
| FY2022 | $7.0B | $17.64 | -9.4% |
| FY2023 | $6.0B | $15.45 | -12.4% |
| FY2024 | $6.3B | $16.53 | +7.0% |
| FY2025 | $6.7B | $17.74 | +7.3% |
4Y Historical EPS CAGR: -2.3%
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.