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A stock has a current dividend of $2.00, a forecasted growth rate of 10%, a beta = 2, market return = 12.4% and the risk-free
A stock has a current dividend of $2.00, a forecasted growth rate of 10%, a beta = 2, market return = 12.4% and the risk-free rate (30 year US T-Bond YTM) = 4%. The current stock price on the NYSE is $15. What is the value of the stock and is the stock over- or under-valued
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