Arbuthnot Banking PLC PEG

What is the PEG of Arbuthnot Banking PLC?

The PEG of Arbuthnot Banking Group PLC is N/A

What is the definition of PEG?

Price/earnings to growth (PEG) ratio is a stock’s P/E ratio divided by a predicted growth rate of its earnings for a time period of 5 years.

= forward PE / 5-year EPS growth rate

The PEG ratio is calculated by dividing the P/E ratio by the company's expected earnings growth rate in the next 5 years. Since using just the P/E ratio would make high-growth companies appear overvalued relative to others, the PEG ratio is considered to be a convenient approximation. PEG is a widely employed indicator of a stock's possible true value.

Similar to P/E ratios, a lower PEG means that the stock is undervalued more. It is favored by many over the price/earnings ratio because it also accounts for growth. The PEG ratio of 1 is sometimes said to represent a fair trade-off between the values of cost and the values of growth, indicating that a stock is reasonably valued given the expected growth. A crude analysis suggests that companies with PEG values between 0 and 1 may provide higher returns. A PEG Ratio can also be a negative number if a stock's present income figure is negative, (negative earnings) or if future earnings are expected to drop (negative growth). PEG ratios calculated from negative present earnings are viewed with skepticism as almost meaningless, other than as an indication of high investment risk.

What does Arbuthnot Banking PLC do?

Arbuthnot Banking Group PLC, together with its subsidiaries, provides private and commercial banking products and services in the United Kingdom. It operates through Private Banking, Mortgage Portfolios, Commercial Banking, Renaissance Asset Finance, Arbuthnot Commercial Asset Based Lending, Arbuthnot Specialist Finance Limited, and All Other Divisions segments. The company offers private banking services, including current and deposit accounts, loans, overdrafts, and foreign exchange; financial planning; investment and asset management; asset finance funding; and short-term secured lending solutions. It also provides commercial banking services, such as guarantees and charge cards; property finance for property investments and developments; individual secured lending; and asset based lending solutions. In addition, the company offers wealth structuring, tax mitigation, estate preservation, and retirement planning services, as well as mortgage portfolios. Further, it provides insurance, specialist finance, and property development and investment services. Arbuthnot Banking Group PLC was founded in 1833 and is headquartered in London, the United Kingdom.