Evaluate the share price for Royal Bank of Canada $($RBC$).$ Their stock is currently trading for $$166\mathrm{.}55/$share$.$ Imagine they have an annual dividend of $$5\mathrm{.}64/$share$.$ Given the current economic outlook, investors expect a $6\mathrm{.}5\%$ return for the year and anticipate selling the stock for $$170\mathrm{.}00$ at the end of the period. Is the stock currently overvalued or undervalued?

Question $1$ options:

Overvalued

Undervalued