DCP Midstream, LP Common Units (DCP) Dividends

DCP Price Forecast Based on Dividend Discount Model

For dividend yielding stocks, the Dividend Discount Model (DDM) is a common valuation tool; it attempts to extrapolate a fair share price based primarily on the dividend the stock provides relative to a number of other quantiative aspects of its business. Regarding DCP Midstream LP, the dividend discount model StockNews created for the company implies a positive return of 40.23%. Digging deeper, the aspects of DCP Midstream LP's dividend discount model that we found most interesting were:

• The amount of revenue DCP Midstream LP earns annually is around 11 billion; in terms of how this translates into revenue, it has a dividend yield higher than 90.21% of companies in the large revenue class.
• Beta, which compares volatilty of an individual stock to that of the S&P 500, is lower for DCP than it is for 8.57% of other equities in the Energy sector that also issue dividends.
• In terms of who is growing the amount of dividends they return to shareholders, DCP boasts a higher growth rate in terms of its annual cash distributed to its owners than only 10.48% of the dividend issuers in our set.

DCP Dividends vs. Peers