D 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 Dominion Energy Inc, the DDM model, as implemented by StockNews, implies a positive return of 57.07% relative to its current price. Some interesting points we thought investors may wish to consider regarding the dividend discount model forecast for Dominion Energy Inc are:

• As for its position relative to other Utilities stocks that issue dividends, D provides shareholders with a dividend yield greater than 83.82% such stocks.
• In comparison to other US listed dividend yielding stocks in the Utilities sector, the expected return of 57.07%, based on the stock's current share price and target price based on a dividend discount model, is greater than 83.82% of the DDM-forecasted return of its its sector peers.
• Compared to all dividend issuing stocks in our set, Dominion Energy Inc bears a discount rate, according to our calculations, lower than 83.82% of them (lower discount rates are generally perceived as positive, and a sign of lower risk).
• In comparison to other dividend stocks in the Utilities sector, D is growing its dividends at a faster rate than about 87.88% of them.

D Dividends vs. Peers