Introducing Valuation Models! 
Key Takeaways:
- Shutterstock stock offers a rare combination of a 7.0% dividend yield and a low payout ratio, making it one of the more attractive income opportunities in the digital media space.
- While earnings growth is expected to be modest, analysts believe the stock could deliver 15%+ annual returns over the next five years if valuation multiples recover.
- With potential total returns approaching 90%, plus a steady dividend, Shutterstock may appeal to investors looking for income and upside in a beaten-down tech stock.
- Unlock our Free Report: 5 undervalued compounders with upside based on Wall Street’s growth estimates that could deliver market-beating returns (Sign up for TIKR, it’s free) >>>
Shutterstock isn’t the first name that comes to mind when you think of dividend stocks.
Best known for its massive library of stock photos, videos, and digital assets used by marketers and creatives, the company now offers a 7.0% dividend yield backed by stable earnings and trades at just a 4.5x forward P/E ratio.
With a low payout ratio and upside potential based on analyst forecasts, Shutterstock might be one of the most overlooked dividend plays in the market today.
Analysts Think the Stock is Strongly Undervalued Today
Shutterstock shares currently trade around $20, while analysts’ base-case estimates suggest the stock could be worth $37/share in the next 5 years.
That scenario would imply total returns of nearly 90% over five years, or 15.3% annually, if earnings grow as expected and the stock trades at a slightly higher valuation multiple.
If Shutterstock delivers on the high-end scenario, driven by stronger earnings growth and a recovery in its P/E multiple, the stock could reach nearly $46/share, offering 135.5% upside from current levels.
With a dividend yield near 7% and a possible rebound in valuation ahead, Shutterstock looks like an income stock with long-term upside potential.
Value any stock in less than 60 seconds with TIKR (It’s free) >>>
Shutterstock’s Dividend Yield
Shutterstock’s dividend yield has soared to around 7.0%, which is a massive jump from its historical average of just 2.3% over the past few years.
That’s close to the high end of its yield range, which peaked near 9.0% in early 2025. For most of its public history, Shutterstock’s yield has hovered below 2%, making today’s payout especially attractive for income-focused investors.
With a yield well above the market average, Shutterstock stands out as a rare high-yield opportunity in the tech and media space.
Find high-quality dividend stocks that look even better than Shutterstock today. (It’s free) >>>
Shutterstock’s Dividend Safety
In 2025, Shutterstock is expected to earn $4.36 in normalized EPS and pay out $1.34 in dividends, resulting in a payout ratio of roughly 31%.
That’s well within a healthy range and suggests the dividend is sustainable, with plenty of cushion to absorb any short-term volatility. Over the next few years, both earnings and dividends are forecasted to grow steadily, with EPS projected to rise to $5.13 by 2027.
This high dividend yield is primarily due to Shutterstock trading cheap today. The stock currently trades at just 4.5x forward earnings, which implies that the stock currently has a 22% forward earnings yield.
Shutterstock’s balance of a high yield and low payout ratio is unusual and compelling. It gives investors confidence that the company can keep paying (and possibly growing) its dividend even if business conditions change.
See Shutterstock’s full growth forecast and analyst estimates. (It’s free) >>>
TIKR Takeaway
Shutterstock combines a high yield with healthy dividend coverage and potential upside if market sentiment improves.
With its strong cash flow profile and reasonable valuation, it could be an interesting dividend pick for investors willing to hold through volatility.
The TIKR Terminal offers industry-leading financial data on over 100,000 stocks and was built for investors who think of buying stocks as buying a piece of a business.
Wall Street Analysts Are Bullish on These 5 Undervalued Compounders With Market-Beating Potential
TIKR just released a new free report on 5 compounders that appear undervalued, have beaten the market in the past, and could continue to outperform on a 1-5 year timeline based on analysts’ estimates.
Inside, you’ll get a breakdown of 5 high-quality businesses with:
- Strong revenue growth and durable competitive advantages
- Attractive valuations based on forward earnings and expected earnings growth
- Long-term upside potential backed by analyst forecasts and TIKR’s valuation models
These are the kinds of stocks that can deliver massive long-term returns, especially if you catch them while they’re still trading at a discount.
Whether you’re a long-term investor or just looking for great businesses trading below fair value, this report will help you zero in on high-upside opportunities.
Click here to sign up for TIKR and get our full report on 5 undervalued compounders completely free.
Looking for New Opportunities?
- See what stocks billionaire investors are buying so you can follow the smart money.
- Analyze stocks in as little as 5 minutes with TIKR’s all-in-one, easy-to-use platform.
- The more rocks you overturn… the more opportunities you’ll uncover. Search 100K+ global stocks, global top investor holdings, and more with TIKR.
Disclaimer:
Please note that the articles on TIKR are not intended to serve as investment or financial advice from TIKR or our content team, nor are they recommendations to buy or sell any stocks. We create our content based on TIKR Terminal’s investment data and analysts’ estimates. Our analysis might not include recent company news or important updates. TIKR has no position in any stocks mentioned. Thank you for reading, and happy investing!
