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can you do detail calculations? B. You are considering investing in two (2) securities that are currently trading in the stock exchange, namely Suntech Bhd

can you do detail calculations?
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B. You are considering investing in two (2) securities that are currently trading in the stock exchange, namely Suntech Bhd and Intech Bhd. The current market price of Suntech Bhd and Intech Bhd shares are $8.50 per share and $6.50 per share, respectively. Below are the relevant financial information regarding the above firms for the current year: Dividend payout ratio Earnings per share Beta Growth rate per year Suntech Bhd 25% $1.50 2 10.2% Intech Bhd 20% $1.25 2 9.57% The risk-free rate and the expected return on the market are 4% and 10% respectively. Compute both stocks' intrinsic value and justify which stocks you should consider for investment (14 marks)

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