ESLT 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 ESLT, the DDM model, as implemented by StockNews, implies a positive return of 29.49% relative to its current price. Digging deeper, the aspects of Elbit Systems Ltd's dividend discount model that we found most interesting were:

• In comparison to other US listed dividend yielding stocks in the Industrials sector, Elbit Systems Ltd's expected return of 29.49% is higher than 89.5% of its fellow sector mates.
• Compared to all dividend issuing stocks in our set, ESLT has a discount rate lower than 89.5% of them (a lower discount rate is associated with lower risk).
• Beta, which compares volatilty of an individual stock to that of the S&P 500, is lower for Elbit Systems Ltd than it is for 95.43% of other dividend issuers in the Industrials sector.

ESLT Dividends vs. Peers