CNQ 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 Canadian Natural Resources Ltd, the dividend discount model StockNews created for the company implies a positive return of 35.8%. Digging deeper, the aspects of Canadian Natural Resources Ltd's dividend discount model that we found most interesting were:

• Given its market cap of around 19 billion US dollars, its dividend yield of 8.25 is greater than 94.34% of its fellow stocks in the large market cap class.
• With a market cap of roughly $19 billion, CNQ is in the large-sized market cap class; here, it has a lower equity discount rate than 5.85% of stocks.
• Beta tells us how volatile a stock's price is relative to the broader equity index; as for CNQ, approximately 3.77% of US-listed dividend issuers had a higher beta, and thus may have greater price volatility.

CNQ Dividends vs. Peers