Home Interior's stock has an expected return of 13.2 percent and a beta of 1.28. The market return is 10.7 percent and the risk-free rate is 2.8 percent. This stock is _____ because the CAPM return for the stock is _____ percent.

greatly overvalued; 16.50

slightly overvalued; 12.91

priced correctly; 12.89

slightly undervalued; 12.91

greatly undervalued; 16.50