SGU 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 SGU, the DDM model, as implemented by StockNews, implies a positive return of 114.6% relative to its current price. To help understand and contextualize the model's evaluation of SGU, investors may wish to consider are:

• Regarding its relative worth based on the dividend discount model, Star Group Lp's estimated return of 114.6% surpasses about 88.35% of dividend issuers we applied the dividend discount model to.
• Beta, which compares volatilty of an individual stock to that of the S&P 500, is lower for Star Group Lp than it is for 94.55% of other dividend issuers in the Energy sector.
• As other dividend issuers in the Energy sector, SGU's equity discount rate is less than 90.91% of those stocks.

SGU Dividends vs. Peers