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ABCs stock is currently priced at $100 in the marketplace and is fairly valued. This means that the market price = the intrinsic value. The

ABCs stock is currently priced at $100 in the marketplace and is fairly valued. This means that the market price = the intrinsic value. The stock does not pay a dividend. What is the expected value of the stock 1 year from today if the beta of the stock is 1.4, the risk-free rate is 3% and the market risk premium is 6%? For this analysis, assume that CAPM perfectly predicts the total return.

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