FCCO 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 First Community Corp, the dividend discount model StockNews created for the company implies a positive return of 16.26%. To help understand and contextualize the model's evaluation of FCCO, investors may wish to consider are:

• If we compare the valuation opportunity a dividend discount model provides relative to other dividend stocks in the Financial Services sector, First Community Corp's expected return of 16.26% is higher than 68.65% of its fellow sector mates.
• Compared to all dividend issuing stocks in our set, FCCO has a discount rate lower than 68.65% of them (a lower discount rate is associated with lower risk).
• A stock's beta generally indicates its volatility relative to the broader equity market; for First Community Corp, its beta is lower than 95.38% of dividend issuing stocks we observed.
• In comparison to its fellow dividend issuing stocks in the Financial Services sector, First Community Corp has an equity discount rate lower than 87.5% of them.

FCCO Dividends vs. Peers