Fanhua Inc. - American depositary shares, each representing 20 ordinary shares (FANH) Dividends

FANH Price Forecast Based on Dividend Discount Model

A technique commonly used by dividend investors to value dividend-issuing stocks is the Dividend Discount Model (DDM), which seeks to determine a fair share price based on the dividend provided by the company relative to a number of other company-specific factors. Regarding Fanhua Inc, the dividend discount model StockNews created for the company implies a positive return of 200.08%. Some interesting points we thought investors may wish to consider regarding the dividend discount model forecast for Fanhua Inc are:

• In comparison to stocks we observe that provide shareholders with a dividend, Fanhua Inc's dividend yield of 8.18% is in the top 6.43000000000001%.
• If we compare the valuation opportunity a dividend discount model provides relative to other dividend stocks in the Financial Services sector, the expected return of 200.08%, based on the stock's current share price and target price based on a dividend discount model, is greater than 82.68% of the DDM-forecasted return of its its sector peers.
• FANH's annual revenue of 519 million US dollars puts it in the small-sized revenue class; relative to suck stocks, it has a discount rate lower than 78.33% of dividend issuing stocks in its revenue class.
• Out of all stocks in our universe of US-listed dividend-issuing stocks, Fanhua Inc bears a discount rate, according to our calculations, lower than 82.68% of them (lower discount rates are generally perceived as positive, and a sign of lower risk).

FANH Dividends vs. Peers