Gladstone Investment Corporation - Business Development Company (GAIN) Dividends

GAIN 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. Regarding Gladstone Investment Corporation, the DDM model, as implemented by StockNews, implies a positive return of 123.64% relative to its current price. Digging deeper, the aspects of Gladstone Investment Corporation's dividend discount model that we found most interesting were:

• In comparison to stocks we observe that provide shareholders with a dividend, Gladstone Investment Corporation produces a dividend yield 5.97% -- which falls in the top 9.84%.
• In comparison to other US listed dividend yielding stocks in the Financial Services sector, the expected return of 123.64%, based on the stock's current share price and target price based on a dividend discount model, is greater than 86.31% of the DDM-forecasted return of its its sector peers.
• Compared to all dividend issuing stocks in our set, Gladstone Investment Corporation bears a discount rate, according to our calculations, lower than 86.31% of them (lower discount rates are generally perceived as positive, and a sign of lower risk).
• Beta, a measure of volatility relative to the stock market overall, is lower for GAIN than it is for 73.57% of other equities in the Financial Services sector that also issue dividends.

GAIN Dividends vs. Peers