The stock of Roman Reigns, Inc. $($RRI$)$ is expected to earn a return of $16\mathrm{.}17\%.$ You have computed the required return of RRI, using the security market line $($SML$),$ to be $19\mathrm{.}21.$

Which of the following statements is true?

Multiple Choice

SJl is undervalued.

SJl is fairly valued.

SJl is overvalued.

Error $5$