MDLZ 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. As for MDLZ, the DDM model, as implemented by StockNews, implies a negative return of 4.69% relative to its current price. Some interesting points we thought investors may wish to consider regarding the dividend discount model forecast for Mondelez International Inc are:

• In comparison to other US listed dividend yielding stocks in the Consumer Defensive sector, the expected return of -4.69%, based on the stock's current share price and target price based on a dividend discount model, is greater than 30.38% of the DDM-forecasted return of its its sector peers.
• Compared to all dividend issuing stocks in our set, Mondelez International Inc bears a discount rate, according to our calculations, lower than 30.38% of them (lower discount rates are generally perceived as positive, and a sign of lower risk).
• Beta tells us how volatile a stock's price is relative to the broader equity index; for Mondelez International Inc, its beta is lower than 77.37% of dividend issuing stocks we observed.

MDLZ Dividends vs. Peers