Critically evaluate a stock and analyze the impact of an event on the stock price within the context of traditional finance and behavioral finance theories.

Guidelines

(1) Give a background of the chosen company. Choose one company and explain the rationality of the stock price based on traditional finance theories.

(2) Please comment on the stock and discuss whether you would like to buy/sell under current situation based on factor analysis such as size, value, momentum.

(3) However, we all know investors are not rational. Choose a piece of news and analyze its impact on the stock price based on behavioral finance concepts. Please attach your news in the appendix.

Suggested content The analysis includes (but is not limited to) the followings:

1. Introduction

2. Background of the listed company based on traditional finance theories

3. Justification on your buy/sell decision based on factor analysis.

4. Discussion of how the event in the news will affect the price using behavioral finance concepts.

5. Conclusion.