NiSource Inc. (NI) Stock: How Does it Score on Fundamental Metrics?

NiSource Inc. (NI) receives a weak valuation ranking of 0 from InvestorsObserver data analysis. The proprietary ranking system focuses on the underlying health of a company through analysis of its stock price, earnings, and growth rate. NI has a better value than 0% of stocks based on these valuation analytics. Investors primarily focused on buy-and-hold strategies will find the valuation ranking relevant to their goals when making investment decisions.

NI gets a 0 Valuation Rank today. Find out what this means to you and get the rest of the rankings on NI!

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Metrics Analysis

NI's trailing-12-month Price to Earnings (PE) ratio of 14.66 puts it around the historical average of roughly 15. NI is a average value at its current trading price as investors are paying around what its worth in relation to the company's earnings. NI's trailing-12-month earnings per share (EPS) of 1.52 does justify what it is currently trading at in the market. Trailing PE ratios, however, do not factor in a company's projected growth rate, resulting in some firms having high PE ratios due to high growth potentially enticing investors even if current earnings are low. NI's 12-month-forward PE to Growth (PEG) ratio of 2.27 is considered a poor value as the market is overvaluing NI in relation to the company's projected earnings growth due. NI's PEG comes from its forward price to earnings ratio being divided by its growth rate. A PEG ratio of 1 represents a perfect correlation between earnings growth and share price. Due to their incorporation of more fundamentals of a company's overall health and focusing on the future rather than the past, PEG ratios are one of the most used valuation metrics by analysts today.

Summary

NI' has a weak valuation at its current share price on account of a overvalued PEG ratio due to strong growth. NI's PE and PEG are worse than the market average leading to a below average valuation score. Click Here to get the full Report on NiSource Inc. (NI) stock.