First Financial Northwest, Inc. (FFNW) Dividends

FFNW 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 First Financial Northwest Inc, the dividend discount model StockNews created for the company implies a positive return of 102.25%. Digging deeper, the aspects of First Financial Northwest Inc's dividend discount model that we found most interesting were:

• 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 102.25%, based on the stock's current share price and target price based on a dividend discount model, is greater than 74.51% of the DDM-forecasted return of its its sector peers.
• Compared to all dividend issuing stocks in our set, FFNW has a discount rate lower than 74.51% 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; as for FFNW, approximately 96.93% of US-listed dividend issuers had a higher beta, and thus may have greater price volatility.
• As other dividend issuers in the Financial Services sector, First Financial Northwest Inc has an equity discount rate lower than 82.49% of them.

FFNW Dividends vs. Peers