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What does it mean when a stock has a Beta of .95? The annual risk-free rate of return is 4%, and the investor believes that
What does it mean when a stock has a Beta of .95?
The annual risk-free rate of return is 4%, and the investor believes that the market will rise annually at 6%.If a stock has a beta of .95 and its current dividend is $1.10, would you be interested in purchasing the stock at a price of $60.00?Why or why not?Earnings and dividends are growing annually at a rate of 4%. (Show your work for full credit.)
Explain 3 concerns with using this method of stock valuation
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