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If a company has not yet earned a profit, the following would be true about its stock price EXCEPT The intrinsic value of the stock
If a company has not yet earned a profit, the following would be true about its stock price EXCEPT The intrinsic value of the stock would be derived mostly from future growth opportunities A comparable like Price/Sales can be used to value the stock Estimating the company's intrinsic stock price can be more challenging and uncertain than it would be for companies with existing earning O P/E ratio would be the best way to determine the stock value
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