CSGS 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 CSGS, the DDM model generated by StockNews estimates a return of positive 31.37% in comparison to its current price. Some interesting points we thought investors may wish to consider regarding the dividend discount model forecast for Csg Systems International Inc are:

• If we compare the valuation opportunity a dividend discount model provides relative to other dividend stocks in the Technology sector, the expected return of 31.37%, based on the stock's current share price and target price based on a dividend discount model, is greater than 82.11% of the DDM-forecasted return of its its sector peers.
• Out of all stocks in our universe of US-listed dividend-issuing stocks, CSGS has a discount rate lower than 82.11% of them (a lower discount rate is associated with lower risk).
• A stock's beta generally indicates its volatility relative to the broader equity market; as for CSGS, approximately 90.6% of US-listed dividend issuers had a higher beta, and thus may have greater price volatility.

CSGS Dividends vs. Peers