AGX Price Forecast Based on Dividend Discount Model

A technique commonly used by dividend investors to value dividend-issuing stocks is the Dividend Discount Model (DDM), which seeks to determine a fair share price based on the dividend provided by the company relative to a number of other company-specific factors. Regarding Argan Inc, the dividend discount model StockNews created for the company implies a positive return of 55.42%. Some interesting points we thought investors may wish to consider regarding the dividend discount model forecast for Argan Inc are:

• In comparison to other US listed dividend yielding stocks in the Industrials sector, Argan Inc's expected return of 55.42% is higher than 88.48% of its fellow sector mates.
• Out of all stocks in our universe of US-listed dividend-issuing stocks, AGX has a discount rate lower than 88.48% of them (a lower discount rate is associated with lower risk).
• In comparison to other dividend stocks in the Industrials sector, AGX is growing its dividends at a faster rate than about 78.6% of them.
• A stock's beta generally indicates its volatility relative to the broader equity market; as for AGX, approximately 77.69% of US-listed dividend issuers had a higher beta, and thus may have greater price volatility.

AGX Dividends vs. Peers