CNQ 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. As for CNQ, the dividend discount model StockNews created for the company implies a negative return of 8.57%. Some interesting points we thought investors may wish to consider regarding the dividend discount model forecast for Canadian Natural Resources Ltd are:

• Given its market cap of around 29 billion US dollars, its dividend yield of 5.45 is greater than 91.79% of its fellow stocks in the large market cap class.
• Canadian Natural Resources Ltd's market cap of $29 billion US dollars puts it in the large-sized market cap class; amongst this group of stocks, its equity discount rate is lower than 5.78% of them.
• Beta tells us how volatile a stock's price is relative to the broader equity index; as for CNQ, approximately 3.86% of US-listed dividend issuers had a higher beta, and thus may have greater price volatility.

CNQ Dividends vs. Peers