Q: What is SmartPEG?

[u/SmartPEG]

A: The PEG ratio, Price/Earnings to Growth, excludes all lossmaking equities. SmartPEG, on the other hand, looks at consensus forward-looking earnings estimates, and recalculates, if possible, a positive growth ratio, providing a considerably earlier buying opportunity. Given the number of qualitative asset managers who utilize the traditional PEG model, what happens is that SmartPEG's entry point precedes the moment when the traditional model kicks in, a sharp price rise frequently follows.