NPK Price Forecast Based on Dividend Discount Model

The Dividend Discount Model (DDM) is a valuation model that attempts to determine a fair share price for a stock, based on the dividend it provides in comparison to several company-specific metrics indicative of the riskiness of the stock and the financial health of the company. As for NPK, the DDM model, as implemented by StockNews, implies a positive return of 236.4% relative to its current price. Digging deeper, the aspects of National Presto Industries Inc's dividend discount model that we found most interesting were:

• With a market cap of roughly $621 million, NPK is in the small-sized market cap class; here, it has a lower equity discount rate than 91.13% of stocks.
• In terms of opportunity, NPK's provides a return of 236.4% based on the forecast of the dividend discount model we used relative to its current share price; this is a better return than 93.43% of all stocks we measured with our dividend discount model.
• Beta, a measure of volatility relative to the stock market overall, is lower for National Presto Industries Inc than it is for 96.35% of other dividend issuers in the Industrials sector.

NPK Dividends vs. Peers