LXP 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 Lexington Realty Trust, the DDM model generated by StockNews estimates a return of positive 25.05% in comparison to its current price. Digging deeper, the aspects of Lexington Realty Trust's dividend discount model that we found most interesting were:

• Beta, which compares volatilty of an individual stock to that of the S&P 500, is lower for LXP than it is for 75.76% of other equities in the Real Estate sector that also issue dividends.
• In terms of who is growing the amount of dividends they return to shareholders, LXP boasts a higher growth rate in terms of its annual cash distributed to its owners than 8.49% of the dividend issuers in our set.
• As other dividend issuers in the Real Estate sector, Lexington Realty Trust has an equity discount rate lower than 74.24% of them.

LXP Dividends vs. Peers