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. In the case of AINV, the DDM model generated by StockNews estimates a return of positive 363.99% in comparison to its current price. Digging deeper, the aspects of Apollo Investment Corp's dividend discount model that we found most interesting were:

• Compared to other US stocks that pay a dividend, Apollo Investment Corp produces a dividend yield 14.39% -- which falls in the top 2.26000000000001%.
• 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 363.99%, based on the stock's current share price and target price based on a dividend discount model, is greater than 98.21% of the DDM-forecasted return of its its sector peers.
• Compared to all dividend issuing stocks in our set, AINV has a discount rate lower than 98.21% of them (a lower discount rate is associated with lower risk).
• In comparison to other dividend stocks in the Financial Services sector, AINV is growing its dividends at a faster rate than about 5.31% of them.

AINV Dividends vs. Peers