Dividend discount model (DDM)

A model for valuing the common stock of a company, based on the present value of the expected cash flows. The New York Times Financial Glossary

Financial and business terms. 2012.

Look at other dictionaries:

  • Dividend Discount Model - DDM — A procedure for valuing the price of a stock by using predicted dividends and discounting them back to present value. The idea is that if the value obtained from the DDM is higher than what the shares are currently trading at, then the stock is… …   Investment dictionary

  • dividend discount model — ( DDM) A method to value the common stock of a company that is based on the present value of the expected future dividends. Bloomberg Financial Dictionary * * *    ► See DDM. * * * dividend discount model UK US noun [C] ► …   Financial and business terms

  • Dividend discount model — The dividend discount model is a way of valuing a company based on the theory that a stock is worth the discounted sum of all of its future dividend payments.[1] In other words, it is used to evaluate stocks based on the net present value of the… …   Wikipedia

  • DDM — is a three letter abbreviation that may refer to: DDM Tuning, an auto parts retailer DDM Racing (Dave s Discount Motors), an R/C Vehicle and Scooter Distributor Deutsches Dampflokomotiv Museum, the German Steam Locomotive Museum at Neuenmarkt,… …   Wikipedia

  • DDM — The ISO 4217 currency code for former East Germany Ostmark. Bloomberg Financial Dictionary See also: discounted dividend model * * *    Dividend Discount Model. It values common stock as the sum of the present (discounted) values of its estimated …   Financial and business terms

  • DDM —   Sigles d’une seule lettre   Sigles de deux lettres > Sigles de trois lettres   Sigles de quatre lettres   Sigles de cinq lettres   Sigles de six lettres   Sigles de sept… …   Wikipédia en Français

  • Three-phase DDM — A version of the dividend discount model which applies a different expected dividend rate depending on a company s life cycle phase, growth phase, transition phase, or maturity phase. The New York Times Financial Glossary …   Financial and business terms

  • three-phase DDM — A version of the dividend discount model that applies a different expected dividend rate depending on a company s life cycle phase: growth phase, transition phase, or maturity phase. Bloomberg Financial Dictionary …   Financial and business terms

  • John Burr Williams — Infobox Scientist name = John Burr Williams box width = image width = caption = birth date = 1899 birth place = death date = 1989 death place = residence = citizenship = nationality = ethnicity = field = Finance work institutions = University of… …   Wikipedia

  • quantitative analysis — An assessment of specific measurable securities or investment factors, such as cost of capital, value of assets; and projections of sales, costs, earnings, and profits. Combined with more subjective or qualitative considerations (such as… …   Financial and business terms

Share the article and excerpts

Direct link
Do a right-click on the link above
and select “Copy Link”

We are using cookies for the best presentation of our site. Continuing to use this site, you agree with this.