TCPC Price Forecast Based on Dividend Discount Model

A technique commonly used by dividend investors to value dividend-issuing stocks is the Dividend Discount Model (DDM), which seeks to determine a fair share price based on the dividend provided by the company relative to a number of other company-specific factors. Regarding BlackRock TCP Capital Corp, the DDM model generated by StockNews estimates a return of positive 127.84% in comparison to its current price. To help understand and contextualize the model's evaluation of TCPC, investors may wish to consider are:

• Compared to other US stocks that pay a dividend, BlackRock TCP Capital Corp's dividend yield of 10.64% is in the top 3.08%.
• In comparison to other US listed dividend yielding stocks in the Financial Services sector, the expected return of 127.84%, based on the stock's current share price and target price based on a dividend discount model, is greater than 93.31% of the DDM-forecasted return of its its sector peers.
• Compared to all dividend issuing stocks in our set, TCPC has a discount rate lower than 93.31% of them (a lower discount rate is associated with lower risk).
• TCPC's growth rate in terms of the amount of dividends it returns to shareholders is greater than merely 22.43% of its fellow dividend stocks in the Financial Services sector.

TCPC Dividends vs. Peers