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2) Company X has a P/E ratio of 20 and an expected growth in earnings of 15%. Firm Y has a P/E ratio of 25
2) Company X has a P/E ratio of 20 and an expected growth in earnings of 15%. Firm Y has a P/E ratio of 25 and an expected growth in earnings of 25%. The industry as a whole has a P/E ratio of 15 and a growth rate of 20%. Which stock, X or Y, is a better buy based on the PEG ratio? Is either a good buy relative to their industry
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