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- Download monthly return data of Nvidia's stock and the S&P500 for the last five years (available at finance.yahoo.com). - Create a scatter plot showing
- Download monthly return data of Nvidia's stock and the S\&P500 for the last five years (available at finance.yahoo.com). - Create a scatter plot showing the relationship between the return of your stock and the return of the market portfolio. - Using regression analysis, calculate the beta and alpha of your stock. Is your company's stock more or less volatile than the market? Discuss your stock's alpha. - Using CAPM, calculate the required return of your stock. Data for the risk-free rate is available at finance.yahoo.com. - What is your estimate of the intrinsic value of the stock using the DCF model? Discuss your steps and present your tables. Compare the intrinsic value to the market price of the share. Is the share fairly priced? Discuss the assumptions that you made for this calculation. - Show your steps and present all relevant charts and tables with your analysis. - Present the regression output and a snapshot of your return data
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