Exercise #3: Assume the riskfree rate of 3% and a 10% expected market return. The following table shows betas for three companies. Calculate each stock's expected rate of return using CAPM. Based on your fundamental analysis, you expect Apple to return H96, Alcoa to return 12%, and Walmart to return 6.6%. Indicate whether the stock is over or underpriced? Company Beta Exp Return OverfUnderpriced Apple 1.38 12.55 under Alcoa 1.10 10.?0 under WaImart 0.45 6.15 under