SBAC 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 SBAC, the DDM model, as implemented by StockNews, implies a negative return of 68.02% relative to its current price. Digging deeper, the aspects of Sba Communications Corp's dividend discount model that we found most interesting were:

• Relative to all dividend yielding stocks in our set, Sba Communications Corp produces a dividend yield 0.64% -- which falls in the bottom 8.49%.
• If we compare the valuation opportunity a dividend discount model provides relative to other dividend stocks in the Real Estate sector, the expected return of -68.02%, based on the stock's current share price and target price based on a dividend discount model, is greater than 2.81% of the DDM-forecasted return of its its sector peers.
• Out of all stocks in our universe of US-listed dividend-issuing stocks, Sba Communications Corp bears a discount rate, according to our calculations, lower than 2.81% of them (lower discount rates are generally perceived as positive, and a sign of lower risk).
• As other dividend issuers in the Real Estate sector, Sba Communications Corp has an equity discount rate lower than 95.51% of them.

SBAC Dividends vs. Peers