KDP's most recent dividend was $2 per share, and the stock is selling today in the market for $70. The dividend is expected to grow at a rate of 7% per year for the foreseeable future. If the return is 10% on investments with comparable risk, should you purchase the stock?

• No, because the stock is overpriced $3.33.
• Yes, because the stock is underpriced $1.33.
• Yes, because the stock is underpriced $3.33.
• No, because the stock is overpriced $1.33.