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When an analyst plans to use the ex post beta coefficient to estimate the intrinsic value of a stock using the dividend discount model, it
When an analyst plans to use the ex post beta coefficient to estimate the intrinsic value of a stock using the dividend discount model, it is important that keep in mind the
the slope of the characteristic line of the stock be as close to 1 as possible.
the R square be as close to 0 as possible.
that major changes have recently occurred to the company that issued the stock.
the R square be as close to 1 as possible.
the vertical intercept of the characteristic line be as close to 0 as possible.
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