Lowest PEG Ratios in Automobile Manufacturers Industry

Strategic Insights -

The SmarTrend News Watch, as of May 20, 2015, identifies the three companies in the Automobile Manufacturers industry with the lowest price to earnings to growth (PEG) ratios. These companies are attractive investment opportunities due to their low PEG ratios, which indicate a tradeoff between the price of a stock and expected growth. The lowest PEG ratio is held by Ford Motor, followed closely by General Motors and then Thor Industries.

Key Takeaways:

  • Ford Motor ranks lowest with a PEG ratio of 0.62, indicating an attractive investment opportunity due to its low price and high expected growth.
  • General Motors ranks second with a PEG ratio of 0.63, making it a potential investment opportunity given its low price and high expected growth.
  • Thor Industries ranks third lowest with a PEG ratio of 1.38, indicating a relatively attractive investment opportunity compared to its competitors.
  • Winnebago Industries has a PEG ratio of 2.45, which is higher than the first three companies listed but still indicates a potential investment opportunity.
  • Tesla Motors Inc has a PEG ratio of 16.14, making it the least attractive investment opportunity among the five companies listed in this analysis.
  • SmarTrend recommended buying shares of Tesla Motors Inc on April 6, 2015, and since then, the stock has risen 22.0%.

Statistics:

  • Ford Motor's PEG ratio is 0.62, indicating a low price and high expected growth.
  • General Motors' PEG ratio is 0.63, making it a potential investment opportunity.
  • Thor Industries' PEG ratio is 1.38, indicating a relatively attractive investment opportunity.
  • Winnebago Industries' PEG ratio is 2.45, which is higher than the first three companies listed.
  • Tesla Motors Inc's PEG ratio is 16.14, making it the least attractive investment opportunity.
  • Tesla Motors Inc's stock price rose 22.0% since the April 6, 2015 SmarTrend recommendation.

Sources:

  • SmarTrend(R) News Watch via COMTEX.
  • SmarTrend's website (http://www.MySmarTrend.com)
  • SmarTrend's free morning newsletter (http://www.MySmarTrend.com/signup).