UFCS 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 United Fire Group Inc, the DDM model, as implemented by StockNews, implies a positive return of 4.35% relative to its current price. To help understand and contextualize the model's evaluation of UFCS, investors may wish to consider are:

• In comparison to stocks we observe that provide shareholders with a dividend, United Fire Group Inc produces a dividend yield 6.5% -- which falls in the top 13.38%.
• Compared to other dividend issuers in the small-sized market cap category, UFCS has a beta lower than just 24.11% of them.

UFCS Dividends vs. Peers