VSEC 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. As for VSEC, the DDM model, as implemented by StockNews, implies a negative return of 72.13% relative to its current price. To help understand and contextualize the model's evaluation of VSEC, investors may wish to consider are:

• VSEC's market cap is about 318 million US dollars -- its dividend yield of 1.25 is greater than only 11.74% of its fellow stocks in the small market cap class.
• In comparison to other dividend stocks in the Industrials sector, VSEC is growing its dividends at a faster rate than about 65.8% of them.
• In terms of opportunity, VSEC's provides a return of -72.13% based on the forecast of the dividend discount model we used relative to its current share price; this is a better return than only 14.87% of all stocks we measured with our dividend discount model.

VSEC Dividends vs. Peers