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Dividend Discount Model (DDM) Calculator


Calculate Fair Value, Expected Dividends, Growth Rate & Cost of Equity with our Dividend Discount Model (DDM) Calculator. Simplify your stock valuation process!















Result Fair Value $0
Expected Dividends Next Year 0%
Expected Growth Rate 0%
Cost Of Equity 0%

Formula

            
                
            Expected Growth Rate = ( 1 – Dividend Payout Ratio ) × Return on Equity

            Expected Dividends Next Year = Dividends per Share × (1 + Expected Growth Rate)

            Cost of Equity = Risk-Free Rate + Beta × Market Risk Premium

            Fair Value = Expected Dividends Next Year / (Cost of Equity – Expected Growth Rate)
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