CHT Price Forecast Based on Dividend Discount Model

The Dividend Discount Model (DDM) is a valuation model that attempts to determine a fair share price for a stock, based on the dividend it provides in comparison to several company-specific metrics indicative of the riskiness of the stock and the financial health of the company. Regarding Chunghwa Telecom Co Ltd, the DDM model generated by StockNews estimates a return of positive 2292.76% in comparison to its current price. To help understand and contextualize the model's evaluation of CHT, investors may wish to consider are:

• In comparison to other US listed dividend yielding stocks in the Communication Services sector, the expected return of 2292.76%, based on the stock's current share price and target price based on a dividend discount model, is greater than just 100% of the DDM-forecasted return of its its sector peers.
• Out of all stocks in our universe of US-listed dividend-issuing stocks, Chunghwa Telecom Co Ltd bears a discount rate, according to our calculations, lower than just 100% 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 CHT than it is for just 100% of other equities in the Communication Services sector that also issue dividends.

CHT Dividends vs. Peers