General Electric Co PEG Ratio
Data as of August 04, 2026
PEG Ratio
2.38
PE Ratio (TTM)
41.65
EPS (TTM)
$8.49
Sector
Aerospace & Defense
How It's Calculated
2.38 = 41.65 ÷ Growth Rate
What This Means
General Electric Co's PEG ratio of 2.38 is above 2, suggesting the stock may be overvalued relative to its growth rate. Investors are paying a premium for each unit of earnings growth.
About General Electric Co
General Electric Co (GE) operates in the Aerospace & Defense sector, specifically in Aerospace & Defense. With a market capitalization of about $373.60B, it ranks as a mega-cap stock — one of the largest publicly traded companies.
Shares recently traded near $368.93, within a 52-week range of $261.71 to $382.97 (-3.7% from the high, +41.0% from the low). Beta of 1.40 suggests the stock has been more volatile than the broader market.
Trailing profit margin is about 17.7%, signaling a solid profit margin for its industry.
Understanding This Metric
The PEG ratio adjusts the PE multiple for expected earnings growth, helping compare fast-growing and slow-growing names on a more equal footing. For General Electric Co, a PEG near 1 is often described as fairly valued relative to growth, though the growth estimate itself can change quickly with guidance revisions.
Sector Comparison
Among Aerospace & Defense names on our S&P 100 coverage, General Electric Co's PEG ratio of 2.38 can be compared with peers such as RTX (2.34), LMT (1.05), GD (2.00). Sector context helps interpretation, but each company's growth profile and balance sheet differ — use multiple metrics before drawing conclusions. View all Aerospace & Defense stocks.
Key Takeaways
- GE is grouped in the Aerospace & Defense sector for peer comparisons.
- Recent beta of 1.40 suggests higher-than-market price sensitivity.
- Trailing profit margin of 17.7% provides context for how much earnings support the headline multiple.
Related Tools & Guides
Explore calculators and guides connected to this metric, or view all metrics for GE.
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Frequently Asked Questions
What is GE's PEG ratio?
PEG adjusts PE for expected earnings growth: PEG ≈ PE ÷ earnings growth rate. General Electric Co's PEG of 2.38 is a shorthand for growth-at-a-reasonable-price comparisons.
Does PEG suggest growth at a reasonable price?
PEG above 1.5 (2.38) may mean the market prices in high growth — or that growth estimates lag reality.
What are limitations of PEG for GE?
PEG depends on a single growth estimate, ignores balance sheet risk, and can mislead when earnings are volatile. Use it with PE, margins, and Aerospace & Defense peers — not as a standalone verdict.
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