Micro Focus Intl PLC ADS each representing One Ord Sh (MFGP) Dividends

MFGP 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 Micro Focus International Plc, the DDM model generated by StockNews estimates a return of negative 15.32% in comparison to its current price. Digging deeper, the aspects of Micro Focus International Plc's dividend discount model that we found most interesting were:

• As for its position relative to other Technology stocks that issue dividends, Micro Focus International Plc offers a higher dividend yield than 77.78% of them.
• In comparison to other US listed dividend yielding stocks in the Technology sector, the expected return of -15.32%, based on the stock's current share price and target price based on a dividend discount model, is greater than 79.37% of the DDM-forecasted return of its its sector peers.
• Out of all stocks in our universe of US-listed dividend-issuing stocks, Micro Focus International Plc bears a discount rate, according to our calculations, lower than 79.37% of them (lower discount rates are generally perceived as positive, and a sign of lower risk).
• In terms of who is growing the amount of dividends they return to shareholders, Micro Focus International Plc has been increasing its dividends at a faster rate than 2.6% of US-listed dividend-issuing stocks we observed.

MFGP Dividends vs. Peers