|Fund Name||P/E Ratio||Earnings Growth||PEG Ratio|
|S&P 500 Index (VFINX)||19.6||9.5%||2.06|
|Total Stock Market Index (VTSMX)||22.4||7.5%||2.97|
|Large Growth Index (VIGRX)||25.3||12.6%||2.01|
|Value Index (VIVAX)||16.4||7.6%||2.16|
|Mid-Cap Index (VIMSX)||22.1||12.5%||1.77|
|Small Cap Index (NAESX)||25.2||8.5%||2.96|
|Small Cap Growth Index (VISGX)||33.1||14.9%||2.22|
|Small Cap Value Index (VISVX)||20.3||4.0%||5.06|
- The first thing that catches the eye is the P/E ratio of Small Cap Growth index. At 33.1, it is way above the historical average.
- The lowest earnings growth is in the Small Cap Value index. The PEG of 5.06 indicates that the price we pay is much higher for the amount of growth.
- The lowest P/E honors are held by the Value index fund, which is basically a large cap value index fund for the comparison purposes. But, P/E at 16.4, it is still above the historical P/E average of the broader stock index.
- The lowest PEG honors goes to Mid Cap index fund. The reason for this low PEG is above average earnings growth of 12.5% and a P/E of 22.1 that is below small cap stocks.
- A blend index with P/E less than 20 is S&P 500 index.
- The PEG of Large Growth index fund is less than the S&P 500 index fund. Are Large Growth stocks undervalued?
- The PEG of Large Growth index is even less than the Value index fund. Are Large Growth stocks on sale?