True or Fasle

1. If you create a DCF valuation for a public company, and the resulting equity value is significantly lower than the current public market value, then it is likely that this represents an excellent opportunity to short the company's stock and make a big profit when the market realizes its errors.

2. The riskiness (volatility) of a public company's equity can be estimated by looking at a series of stock price changes and measuring the standard deviation of the company's equity returns.