HRZN 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 Horizon Technology Finance Corp, the DDM model, as implemented by StockNews, implies a positive return of 98.41% relative to its current price. Digging deeper, the aspects of Horizon Technology Finance Corp's dividend discount model that we found most interesting were:

• Compared to other US stocks that pay a dividend, Horizon Technology Finance Corp's dividend yield of 9.72% is in the top 6.79000000000001%.
• If we compare the valuation opportunity a dividend discount model provides relative to other dividend stocks in the Financial Services sector, Horizon Technology Finance Corp's expected return of 98.41% is higher than 86.83% of its fellow sector mates.
• Compared to all dividend issuing stocks in our set, HRZN has a discount rate lower than 86.83% of them (a lower discount rate is associated with lower risk).
• Horizon Technology Finance Corp's dividend growth rate is higher than 27.87% of stocks in its sector (Financial Services).

HRZN Dividends vs. Peers