PennantPark Investment Corporation - common stock (PNNT) Dividends

PNNT 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. In the case of PNNT, the DDM model generated by StockNews estimates a return of positive 238.82% in comparison to its current price. To help understand and contextualize the model's evaluation of PNNT, investors may wish to consider are:

• Compared to other US stocks that pay a dividend, Pennantpark Investment Corp's dividend yield of 7.29% is in the top 7.65000000000001%.
• In comparison to other US listed dividend yielding stocks in the Financial Services sector, the expected return of 238.82%, based on the stock's current share price and target price based on a dividend discount model, is greater than 84.44% of the DDM-forecasted return of its its sector peers.
• Out of all stocks in our universe of US-listed dividend-issuing stocks, Pennantpark Investment Corp bears a discount rate, according to our calculations, lower than 84.44% 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, Pennantpark Investment Corp has been increasing its dividends at a faster rate than 6.3% of US-listed dividend-issuing stocks we observed.

PNNT Dividends vs. Peers