Let's assume that you're thinking about buying stock in West Coast Electronics. So far in your analysis, you've uncovered the following information: The stock pays annual dividends of $$4\mathrm{.}92$ a share indefinitely. It trades at a P$/$E of $10\mathrm{.}9$ times earnings and has a beta of $1\mathrm{.}14.$ In addition, you plan on using a risk$-$free rate of $4\mathrm{.}00\%$ in the CAPM, along with a market return of $11\%.$ You would like to hold the stock for $3$ years, at the end of which time you think EPS will be $$7\mathrm{.}72$ a share. Given that the stock currently trades at $$57\mathrm{.}20,$ use the IRR approach to find this security$\text{'}$s expected return. Now use the dividend valuation model $($with constant dividends$)$ to put a price on this stock. Does this look like a good investment to you? Explain.

This security$\text{'}$s expected return $($IRR$)$ is

$\%.($Round to two decimal places.$)$