Dividend Discount Model Formula: Valuation according to the dividend discount model = Dividend at period 1 / (k-g)

Dividend Discount Model Definition Our online Dividend Discount Model Calculator is a free financial calculator that makes it a snap to learn how to calculate the worth of a stock based on the dividend discount model. If you know a stock’s current dividend, dividend growth rate, and your required rate of return for the stock then that is all you need to get started using our free dividend discount model calculator!

How to Calculate Dividend Discount Model Let's be honest - sometimes the best dividend discount model calculator is the one that is easy to use and doesn't require us to even know what the dividend discount model formula is in the first place! But if you want to know the exact formula for calculating dividend discount model then please check out the "Formula" box above.