Revealed on Might 18th, 2026 by Bob Ciura
Investing has historically been broadly categorized into “progress”, and “worth” types.
- Worth buyers search for shares buying and selling for lower than they’re value.
- Progress buyers search for fast-growing shares that might be value extra sooner or later.
Each worth and progress are necessary. Valuation issues. And so does future progress potential. The synthesis of progress investing and worth investing is GARP investing.
GARP stands for “Growth At A Reasonable Price”.
It goals to purchase quick rising firms buying and selling at affordable costs. The important thing metric for GARP buyers is the PEG ratio.
The PEG ratio takes the P/E ratio and divides it by the anticipated annualized progress charge x 100.
Instance: A inventory rising at 10% yearly with a P/E ratio of 20 would have a PEG ratio of two.0.
GARP buyers ideally need securities buying and selling for PEG ratios of 1.0 or much less. These are uncommon, particularly in at the moment’s excessive P/E ratio market.
That’s as a result of shares with sturdy progress prospects are inclined to not have low P/E ratios. If anticipated progress is powerful, sentiment is often not adverse.
What the PEG ratio doesn’t have in mind is dividends. Dividends matter to investing – and particularly to dividend progress buyers.
Blue-chip shares are well-established, financially sturdy, and persistently worthwhile firms.
This analysis report has the next assets that will help you put money into blue chip shares:
We glance for top of the range fast-growing dividend shares buying and selling at or under honest worth to purchase and maintain for the long term.
This strains up properly with the PEG ratio, particularly in comparison with the broader market.
This text will listing the ten lowest PEG ratio shares within the S&P 500, that we cowl within the Certain Evaluation Analysis Database.
They’re ranked so as of PEG ratio, from lowest to highest.
Desk of Contents
The desk of contents under permits for simple navigation. PEG ratio information offered by ycharts.
Low PEG Ratio Inventory #10: Nucor Company (NUE)
Nucor is the most important publicly traded U.S.-based metal company. The corporate operates roughly 25 scrap-based metal manufacturing mills and is one among North America’s largest recyclers.
On January 26, 2026, Nucor Company reported fourth-quarter and full-year 2025 monetary outcomes. The quarter confirmed blended efficiency, with consolidated web earnings of $378 million, or $1.64 per diluted share, and adjusted web earnings of $400 million, or $1.73 per diluted share.
Impairment fees tied to closures or repurposing within the metal merchandise phase weighed on reported outcomes and adjusted EPS fell wanting the $1.86 analyst consensus, regardless of an 8.6 p.c year-over-year enhance in income to $7.69 billion.
Profitability additionally softened relative to Q3 2025, when web earnings had been $607 million or $2.63 per diluted share, signaling some earnings strain at the same time as finish markets remained constructive.
Nucor continued to prioritize shareholder returns, distributing roughly $1.2 billion to stockholders in 2025 by share repurchases and dividends, repurchasing about 5.4 million shares at a mean value of $128.66.
The corporate additionally declared a money dividend of $0.56 per share alongside a brand new $4 billion share repurchase authorization and prolonged its 53-year streak of base dividend will increase and 211 consecutive quarterly dividends.
Click on right here to obtain our most up-to-date Certain Evaluation report on NUE (preview of web page 1 of three proven under):
Low PEG Ratio Inventory #9: Broadcom Know-how (AVGO)
Broadcom designs, develops, and sells semiconductors underneath the next enterprise items: Wired infrastructure, wi-fi communication, enterprise storage and industrial.
Its choices embrace information middle chips, manufacturing facility automation, power methods and energy technology, broadband entry, and residential connectivity.
Broadcom is a fabless semiconductor firm, which signifies that the merchandise it designs are manufactured by different firms/foundries.
When Broadcom reported its first quarter earnings outcomes, the corporate showcased income of $19.3 billion, which
represented a rise of 29% in comparison with the prior 12 months’s quarter.
The sturdy income progress efficiency was pushed by AI information middle investments by a lot of Broadcom’s clients. The corporate beat estimates by $170 million, as analysts had been anticipating a barely smaller income enhance for the quarter.
Broadcom reported earnings-per-share of $2.05 for the fiscal first quarter, which was forward of the analyst consensus estimate.
The corporate expects that revenues will are available in at round $22.0 billion throughout the present quarter, which might signify a pleasant income enhance on a year-over-year foundation and on a sequential foundation.
Broadcom is forecasted to see its earnings-per-share develop at a robust tempo of greater than 60% this 12 months..
Click on right here to obtain our most up-to-date Certain Evaluation report on AVGO (preview of web page 1 of three proven under):
Low PEG Ratio Inventory #8: Metal Dynamics (STLD)
Metal Dynamics is the youngest of America’s main metal producers. It was based in Indiana in 1993 and accomplished its IPO in 1996.
It is among the largest home metal producers, with annual manufacturing capability of almost 14 million tons.
In mid-April, Metal Dynamics reported (4/20/26) monetary outcomes for the primary quarter of fiscal 2026. Gross sales grew 19% and earnings-per-share almost doubled over the prior 12 months’s quarter, from $1.44 to $2.78, due to file metal shipments and better metal costs.
Earnings-per-share missed the analysts’ consensus by $0.01. Metal Dynamics has exceeded the analysts’ estimates in 23 of the final 26 quarters.
Click on right here to obtain our most up-to-date Certain Evaluation report on STLD (preview of web page 1 of three proven under):
Low PEG Ratio Inventory #7: Basic Motors (GM)
Basic Motors is a number one international automotive producer headquartered in Detroit, Michigan.
Based in 1908, the corporate designs, manufactures and sells vehicles and vans. Its model portfolio consists of Buick, Cadillac, Chevrolet, GMC, Baojun, and Wuling.
The corporate generates greater than 90% of its earnings in North America.
In late April, Basic Motors reported (4/28/26) outcomes for the primary quarter of 2026. Gross sales dipped -1% over the prior 12 months’s quarter. Nonetheless, due to a wider revenue margin, adjusted earnings-per-share grew 33%, from $2.78 to $3.70, and exceeded the analysts’ estimates by $1.06, because the impression of tariffs was comparatively tender.
The corporate has overwhelmed the analysts’ estimates in 25 of the final 26 quarters. Because of a milder-than-expected impact of tariffs on outcomes, administration raised its already optimistic steering for 2026.
It raised its steering for adjusted earnings-per-share from $11.00-$13.00 to $11.50-$13.50.
Click on right here to obtain our most up-to-date Certain Evaluation report on GM (preview of web page 1 of three proven under):
Low PEG Ratio Inventory #6: Residents Monetary Group (CFG)
Residents Monetary Group is a financial institution holding firm for Residents Financial institution, a regional financial institution that’s primarily based in Windfall, Rhode Island.
Residents operates in two segments: Client Banking and Industrial Banking. The buyer phase affords conventional banking services.
The business phase affords a full suite of economic services to companies, together with treasury administration, money administration, foreign exchange and rate of interest threat options, M&A advisory providers, and extra.
Residents traces its roots again to 1828 and operates about 1,000 branches in 11 states within the U.S. Residents ought to generate roughly $9 billion in income this 12 months.
Residents posted fourth quarter and full-year earnings on January twenty first, 2026, and outcomes had been higher than anticipated on each the highest and backside strains, if solely barely.
Adjusted earnings-per-share got here to $1.13, which was two cents forward of estimates. Earnings rose from $1.05 within the third quarter, and from 83 cents a 12 months earlier.
Income was up 9.1% year-over-year to $2.16 billion, which beat estimates narrowly. Internet curiosity revenue was $1.54 billion, up from $1.49 billion 1 / 4 in the past, and $1.41 billion a 12 months earlier.
We begin 2026 with an estimate of $5.10 in adjusted earnings-per-share.
Click on right here to obtain our most up-to-date Certain Evaluation report on CFG (preview of web page 1 of three proven under):
Low PEG Ratio Inventory #5: Seagate Applied sciences (STX)
Seagate Applied sciences gives information storage merchandise and information storage options.
The corporate’s portfolio of merchandise affords a wide range of merchandise that meet the wants of its clients, reminiscent of onerous disk drives, stable state hybrid drives, stable state drives, storage subsystems and computing options.
On January twenty seventh, 2026, Seagate Applied sciences reported outcomes for the second quarter of FY 2026 for the interval ending January 2nd, 2026. For the quarter, income improved 21.5% to $2.83 billion, which topped estimates by $80 million.
Adjusted earnings-per-share of $3.11 was a brand new file for the corporate, in contrast very favorably to $2.03 within the prior fiscal 12 months, and was $0.27 higher than anticipated.
High- and bottom-line positive aspects was powered by energy in Knowledge Middle markets and better demand from international cloud clients.
Income was up 7.6% sequentially, marking 10 out of 11 quarters of quarter-over-quarter progress. Gross margin expanded 150 foundation factors to a file 41.6% on a sequential foundation and was up 670 foundation factors year-over-year.
The file working margin of 29.8% represented an 80 foundation factors enchancment from Q1 2026 and was up 880 foundation factors from Q2 2025.
Adjusted EBITDA totaled $962 million. The corporate’s free money circulation grew 42% quarter-over quarter to $607 million.
We count on that Seagate Applied sciences will earn $12.90 per share in fiscal 12 months 2026.
Click on right here to obtain our most up-to-date Certain Evaluation report on STX (preview of web page 1 of three proven under):
Low PEG Ratio Inventory #4: Everest Group, Ltd. (EG)
Everest Group is a holding firm that gives insurance coverage in addition to reinsurance providers. Everest Group gives reinsurance for property & casualty insurers in addition to for particular strains reminiscent of maritime and aviation.
Everest Group operates within the US and thru branches in Canada, Singapore and Bermuda. The corporate was based in 1999, and is headquartered in Hamilton, Bermuda.
Everest Group reported its first quarter earnings outcomes on April twenty ninth. The corporate wrote premiums of $3.6 billion throughout the quarter, down 18% year-over-year.
Income was down by 10% in comparison with one 12 months earlier, with the corporate’s top-line consequence coming in at $3.85 billion for the quarter.
The corporate’s adjusted attritional mixed ratio stood at 88.5%, a little bit decrease (which is best) than the earlier quarter, whereas web funding revenue rose properly versus one 12 months earlier, to $567 million versus $491 million.
Everest Group reported earnings-per-share of $16.08 for the primary quarter, which was higher than anticipated.
Click on right here to obtain our most up-to-date Certain Evaluation report on EG (preview of web page 1 of three proven under):
Low PEG Ratio Inventory #3: Citigroup (C)
Citigroup was based in 1812, when it was often called the Metropolis Financial institution of New York. Prior to now 200+ years, the financial institution has grown into a world juggernaut in bank cards, business banking, buying and selling, and a wide range of different monetary actions.
Citi posted first quarter earnings on April 14th, 2026, and outcomes had been significantly better than anticipated on each the highest and backside strains. Earnings got here to $3.06 per share, beating estimates by 43 cents.
Income was up 14% year-over-year to $24.63 billion, beating estimates by greater than a billion {dollars}. Income progress was pushed by positive aspects in every of Citi’s companies, in addition to the impression of foreign exchange translation.
Provisions for credit score losses had been $2.8 billion, reflecting $2.2 billion of web credit score losses and a web allowance for credit score losses construct of $597 million. Working prices had been $14.3 billion, up from $13.8 billion within the prior quarter however down from $21.6 billion a 12 months earlier.
Ebook worth ended the quarter at $112 per share, up 8% versus December. Tangible guide worth was $99 per share, additionally up 8% from the tip of the 12 months.
Internet curiosity revenue for 2026 continues to be anticipated to be up 5% to six% from final 12 months’s $49.8 billion, and its effectivity efforts stay on observe.
For the quarter, Internet curiosity revenue was $15.7 billion, properly previous the estimate of $14 billion. It was additionally greater by 12% year-over-year and flat to the December quarter.
Loans ended the interval at $762 billion, up from $752 billion in This fall. Deposits grew as properly over the identical timeframe, rising from $1.40 trillion to $1.45 trillion.
Click on right here to obtain our most up-to-date Certain Evaluation report on C (preview of web page 1 of three proven under):
Low PEG Ratio Inventory #2: Phillips 66 (PSX)
Phillips 66 was spun off from ConocoPhillips in 2012. Phillips 66 operates in 4 segments: refining, midstream, chemical substances, and advertising and marketing.
It’s a diversified firm with every of its segments behaving otherwise underneath varied oil costs, within the absence of a extreme recession. In most years, the refining phase is essentially the most worthwhile phase of the corporate.
In early February, Phillips 66 reported (2/4/26) outcomes for the fourth quarter of 2025. It achieved a robust refinery utilization charge of 99% and a file clear product yield of 88%.
Refining margins improved however chemical margins contracted sequentially. Consequently, earnings-per-share dipped -2%, from $2.52 to $2.47, although they exceeded the analysts’ consensus by $0.32.
After two years of blowout refining margins amid the Ukrainian disaster, refining margins have normalized.
The corporate is within the optimistic section of its cycle. Whereas it has diminished its capital bills in recent times, it has begun to reap the advantages from previous investments.
Click on right here to obtain our most up-to-date Certain Evaluation report on PSX (preview of web page 1 of three proven under):
Low PEG Ratio Inventory #1: Vistra Corp. (VST)
Vistra is an built-in retail electrical energy and energy technology firm.
It is among the largest energy turbines within the U.S. and has a capability of roughly 44,000 megawatts generated by a various portfolio which incorporates pure fuel, nuclear, photo voltaic and battery power storage services.
Its services are provided throughout 18 states and Washington D.C. Vistra serves roughly 5 million residential, business, and industrial retail clients with electrical energy and pure fuel.
Vistra Corp reported fourth quarter 2025 outcomes on February twenty sixth, 2026. It reported adjusted EBITDA from ongoing
operations for the quarter of $1,742 million, 12% decrease than the $1,983 million earned in fourth quarter 2024.
Management offered its fiscal 2026 steering, which requires adjusted EBITDA of $6.8 billion to $7.6 billion and adjusted free money circulation earlier than progress capex is predicted to come back in at $3.925 billion to $4.725 billion.
Click on right here to obtain our most up-to-date Certain Evaluation report on VST (preview of web page 1 of three proven under):
Different Blue Chip Inventory Assets
The assets under offers you a greater understanding of dividend progress investing:
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