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
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► See DDM.
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dividend discount modelUKUSnoun [C]
► FINANCEa method used for deciding what the selling price of a company's shares should be, by considering possible future dividends and what their value should be calculated as at the time of selling: »
The dividend discount model can be a useful tool for equity valuation.
сокр. DDM фин. модель дисконтирования [капитализации\] дивидендов, модель оценки дивидендов*(обобщающее понятие для моделей, связывающих рыночную стоимость обыкновенных акций с дисконтированной величиной будущих дивидендов)
Syn:
dividend valuation model, dividend capitalization model
See:
Gordon model, dividend growth model, discounted cash flow