EBAY 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 EBAY, the DDM model generated by StockNews estimates a return of positive 40.51% in comparison to its current price. Some interesting points we thought investors may wish to consider regarding the dividend discount model forecast for Ebay Inc are:

• In comparison to other US listed dividend yielding stocks in the Technology sector, Ebay Inc's expected return of 40.51% is higher than 82.26% of its fellow sector mates.
• Out of all stocks in our universe of US-listed dividend-issuing stocks, Ebay Inc bears a discount rate, according to our calculations, lower than 82.26% of them (lower discount rates are generally perceived as positive, and a sign of lower risk).
• Beta is a measure of how volatile a stock is relative to the S&P 500; when evaluated against its peers in the large-sized revenue class, Ebay Inc has a beta lower than 95.64% of such peers.

EBAY Dividends vs. Peers