Stock Z (from #3) pays no dividends and is currently trading at $700. Stock Z is forecasted to have a stock price of $640 in 1 year. What is the forecasted rate of return for Stock Z? Based on your response in #3, is Stock Z underpriced, overpriced, or correctly priced? Justify your reasoning mathematically. Assuming all these assumptions are correct, how would an efficient market react to this situation?