Using the PEG framework with analyst consensus forward EPS growth of 14.9%, Waters Corporation has a fair value of $214.88 based on NTM EPS (FY2026) of $14.38. The current PEG ratio is 1.41.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
PEG works well for steady growers with predictable earnings.
| EPS Growth RateForward | 14.9% |
| Adjusted Growth (clamped 8–25%) | 14.9% |
| Fair P/E | 14.9x |
| NTM EPS (FY2026) | $14.38 |
| Fair Value | $214.88 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $10.76 | — | — |
| FY2026E | $14.38 | +33.7% | 13 |
| FY2027E | $16.24 | +12.9% | 13 |
| FY2028E | $17.87 | +10.1% | 11 |
| FY2029E | $20.27 | +13.4% | 5 |
| FY2030E | $21.59 | +6.5% | 5 |
5Y Forward EPS CAGR: 14.9%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $692.8M | $11.17 | — |
| FY2022 | $707.8M | $11.73 | +5.0% |
| FY2023 | $642.2M | $10.84 | -7.6% |
| FY2024 | $637.8M | $10.71 | -1.2% |
| FY2025 | $642.6M | $10.76 | +0.5% |
4Y Historical EPS CAGR: -0.9%
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.