STX 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. Regarding Seagate Technology plc, the DDM model generated by StockNews estimates a return of positive 87.14% in comparison to its current price. Some interesting points we thought investors may wish to consider regarding the dividend discount model forecast for Seagate Technology plc are:

• As for its position relative to other Technology stocks that issue dividends, STX provides shareholders with a dividend yield greater than 94.35% such stocks.
• In comparison to other US listed dividend yielding stocks in the Technology sector, the expected return of 87.14%, based on the stock's current share price and target price based on a dividend discount model, is greater than 90.32% of the DDM-forecasted return of its its sector peers.
• Out of all stocks in our universe of US-listed dividend-issuing stocks, STX has a discount rate lower than 90.32% of them (a lower discount rate is associated with lower risk).
• The Seagate Technology plc's dividend growth rate is greater than merely 18.06% of its fellow large-sized market cap stocks that issue dividends.

STX Dividends vs. Peers