TGA 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 Transglobe Energy Corp, the DDM model, as implemented by StockNews, implies a positive return of 95.99% relative to its current price. Some interesting points we thought investors may wish to consider regarding the dividend discount model forecast for Transglobe Energy Corp are:

• Compared to other US stocks that pay a dividend, Transglobe Energy Corp's dividend yield of 7.41% is in the top 8.03%.
• Beta, which compares volatilty of an individual stock to that of the S&P 500, is lower for Transglobe Energy Corp than it is for 95.45% of other dividend issuers in the Energy sector.
• Based on dividend growth rate, TGA boasts a higher growth rate in terms of its annual cash distributed to its owners than only 2.39% of the dividend issuers in our set.

TGA Dividends vs. Peers