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A stock has a negative beta (e.g., beta = -0.75) and does not pay dividends. Given this information, a model that is valid for calculating
A stock has a negative beta (e.g., beta = -0.75) and does not pay dividends. Given this information, a model that is valid for calculating a required return for this stock is the 1. Constant Dividend Growth Model (DCF) 2. Capital Asset Pricing Model (CAPM) 3. Internal Rate of Return Model (IRR) 4. Weighted Average Cost of Capital Model (WACC)
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