AINV 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 Apollo Investment Corp, the DDM model, as implemented by StockNews, implies a positive return of 230.86% relative to its current price. To help understand and contextualize the model's evaluation of AINV, investors may wish to consider are:

• Relative to all dividend yielding stocks in our set, AINV offers a dividend yield in the top 2.41% of stocks in our set.
• If we compare the valuation opportunity a dividend discount model provides relative to other dividend stocks in the Financial Services sector, the expected return of 230.86%, based on the stock's current share price and target price based on a dividend discount model, is greater than 97.05% of the DDM-forecasted return of its its sector peers.
• Compared to all dividend issuing stocks in our set, Apollo Investment Corp bears a discount rate, according to our calculations, lower than 97.05% of them (lower discount rates are generally perceived as positive, and a sign of lower risk).
• Apollo Investment Corp's dividend growth rate is higher than 6.18% of stocks in its sector (Financial Services).

AINV Dividends vs. Peers