Great Ajax Corp. (AJX) Dividends

AJX Price Forecast Based on Dividend Discount Model

For dividend yielding stocks, the Dividend Discount Model (DDM) is a common valuation tool; it attempts to extrapolate a fair share price based primarily on the dividend the stock provides relative to a number of other quantiative aspects of its business. As for AJX, the DDM model, as implemented by StockNews, implies a positive return of 422.68% relative to its current price. Digging deeper, the aspects of Great Ajax Corp's dividend discount model that we found most interesting were:

• Compared to other US stocks that pay a dividend, Great Ajax Corp's dividend yield of 9.52% is in the top 3.13%.
• If we compare the valuation opportunity a dividend discount model provides relative to other dividend stocks in the Real Estate sector, the expected return of 422.68%, based on the stock's current share price and target price based on a dividend discount model, is greater than 87.7% of the DDM-forecasted return of its its sector peers.
• Out of all stocks in our universe of US-listed dividend-issuing stocks, Great Ajax Corp bears a discount rate, according to our calculations, lower than 87.7% of them (lower discount rates are generally perceived as positive, and a sign of lower risk).
• Beta, a measure of volatility relative to the stock market overall, is lower for Great Ajax Corp than it is for 83.96% of other dividend issuers in the Real Estate sector.

AJX Dividends vs. Peers