New Delhi, April 16 -- In a volatile market like present times - marked by global uncertainties, intermittent buying at dips, foreign outflows, and fluctuating risk appetite - valuations are under constant scrutiny.

In this backdrop, the PEG ratio is emerging as a much-needed reality check by tying price more closely to growth.

The PEG or (Price/Earnings-to-Growth) ratio compares a stock's P/E multiple with its expected earnings growth, typically over the next couple of years, to assess whether its valuation is justified.

A PEG around 1 is seen as fair value, below 1 may indicate undervaluation, and above 1 could signal overpricing - helping investors separate genuine growth stories from stocks that look expensive without enough moment...