ITIC 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. In the case of ITIC, the dividend discount model StockNews created for the company implies a positive return of 32.4%. To help understand and contextualize the model's evaluation of ITIC, investors may wish to consider are:

• As for its position relative to other Financial Services stocks that issue dividends, ITIC provides shareholders with a dividend yield greater than only 13.75% such stocks.
• In comparison to other US listed dividend yielding stocks in the Financial Services sector, the expected return of 32.4%, based on the stock's current share price and target price based on a dividend discount model, is greater than 81.93% of the DDM-forecasted return of its its sector peers.
• Out of all stocks in our universe of US-listed dividend-issuing stocks, Investors Title Co bears a discount rate, according to our calculations, lower than 81.93% of them (lower discount rates are generally perceived as positive, and a sign of lower risk).
• Based on dividend growth rate, Investors Title Co has been increasing its dividends at a faster rate than 87.25% of US-listed dividend-issuing stocks we observed.

ITIC Dividends vs. Peers