NEWT 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. As for NEWT, the DDM model, as implemented by StockNews, implies a positive return of 178.53% relative to its current price. Some interesting points we thought investors may wish to consider regarding the dividend discount model forecast for Newtek Business Services Corp are:

• In comparison to stocks we observe that provide shareholders with a dividend, NEWT offers a dividend yield in the top 1.51000000000001% of stocks in our set.
• If we compare the valuation opportunity a dividend discount model provides relative to other dividend stocks in the Financial Services sector, Newtek Business Services Corp's expected return of 178.53% is higher than 95.28% of its fellow sector mates.
• Out of all stocks in our universe of US-listed dividend-issuing stocks, NEWT has a discount rate lower than 95.28% of them (a lower discount rate is associated with lower risk).

NEWT Dividends vs. Peers