AUDC 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 AUDC, the DDM model generated by StockNews estimates a return of negative 66.6% in comparison to its current price. Digging deeper, the aspects of Audiocodes Ltd's dividend discount model that we found most interesting were:

• In comparison to stocks we observe that provide shareholders with a dividend, Audiocodes Ltd produces a dividend yield 1.02% -- which falls in the bottom 16.48%.
• Audiocodes Ltd's market cap of $803 million US dollars puts it in the small-sized market cap class; amongst this group of stocks, its equity discount rate is lower than 82.5% of them.
• AUDC's market cap of approximately $803 million makes it a small-sized market cap company; out of dividend issuers in this group, the investment opportunity based on the difference between its current share price and its forecasted DDM value is greater than only 17.5% of them.

AUDC Dividends vs. Peers