PEGY Ratio Calculator

PEGY Ratio Calculator

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📊 PEGY Ratio: A Smarter Way to Value Dividend-Paying Stocks

When analyzing stocks, especially those that pay dividends, the PEGY Ratio offers a more complete picture than the traditional P/E or PEG ratios. It combines a company’s earnings growth with its dividend yield, helping investors assess whether a stock is truly worth its price.

To simplify this analysis, we’ve created a PEGY Ratio Calculator that’s fast, intuitive, and free to use.


🔍 What is the PEGY Ratio?

The PEGY Ratio stands for Price/Earnings to Growth + Dividend Yield. It’s calculated using the formula:

PEGY Ratio = P/E Ratio / (Earnings Growth Rate (%) + Dividend Yield (%))

This ratio is especially useful for evaluating income-generating stocks — those that not only grow but also reward shareholders with dividends.

  • PEGY ratio below 1 may indicate undervaluation.
  • PEGY ratio above 1 could suggest the stock is overpriced relative to its growth and income potential.

🧮 Try the PEGY Ratio Calculator

Our calculator is designed for simplicity. Just enter:

  • The P/E Ratio
  • The Earnings Growth Rate (%)
  • The Dividend Yield (%)

And it will instantly calculate the PEGY Ratio.


✅ Why Use This Calculator?

  • No login or subscription required
  • Clean, mobile-friendly design
  • Instant results
  • Ideal for dividend investors and analysts

Whether you’re screening dividend stocks or preparing a valuation report, this tool helps you make informed decisions quickly.


📈 PEGY Ratio in Action

Let’s say a stock has:

  • P/E Ratio: 18
  • Growth Rate: 12%
  • Dividend Yield: 3%

Then the PEGY Ratio would be:

18 ÷ (12 + 3) = 1.20

This means the stock may be slightly overvalued relative to its combined growth and dividend potential.


💡 Final Thoughts

The PEGY Ratio is a powerful tool for long-term, income-focused investors. It helps you go beyond basic valuation and consider both growth and shareholder returns.

Use our calculator to analyze dividend-paying stocks with confidence — and bookmark it for your next investment review.

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