DDM values stocks based on sum of all future dividends using a company's cost of capital. Most common DDM, the Gordon Growth Model, calculates stock price by dividing next year’s expected dividend by ...

J.B. Maverick is an active trader, commodity futures broker, and stock market analyst 17+ years of experience, in addition to 10+ years of experience as a finance writer and book editor. Marguerita is ...

Dividends have the highest correlation with stock prices for Coke and PepsiCo, explaining over 90% of price changes in the last 15 years. PepsiCo's stock is undervalued by 9% compared to its predicted ...

Dividend investing is a consistent and successful investment model that focuses on businesses that distribute cash to shareholders. The Vanguard Dividend Appreciation Index Fund is a large, liquid ...

Sean Ross is a strategic adviser at 1031x.com, Investopedia contributor, and the founder and manager of Free Lances Ltd. David Kindness is a Certified Public Accountant (CPA) and an expert in the ...

When your small business generates excess cash, you should put that cash to work. If you look at the stock market as a place to put your cash, you need to analyze the potential for creating income or ...

"A cow for her milk. A hen for her eggs, And a stock, by heck, For her dividends" (John Burr Willams) As valuation techniques go, the dividend discount model ("DDM") is basically a more conservative ...