NHTC 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 NHTC, the dividend discount model StockNews created for the company implies a positive return of 265.57%. Digging deeper, the aspects of Natural Health Trends Corp's dividend discount model that we found most interesting were:

• Compared to other US stocks that pay a dividend, NHTC offers a dividend yield in the top 3.06% of stocks in our set.
• In comparison to other US listed dividend yielding stocks in the Technology sector, the expected return of 265.57%, based on the stock's current share price and target price based on a dividend discount model, is greater than 96.77% of the DDM-forecasted return of its its sector peers.
• Compared to all dividend issuing stocks in our set, Natural Health Trends Corp bears a discount rate, according to our calculations, lower than 96.77% 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 Natural Health Trends Corp, its beta is lower than 91.12% of dividend issuing stocks we observed.

NHTC Dividends vs. Peers