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You observe that the stock of Firm Z is currently trading at $19.50 a share. You estimate the intrinsic value at $17.68. Which statement is

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You observe that the stock of Firm Z is currently trading at $19.50 a share. You estimate the intrinsic value at $17.68. Which statement is true? S1: If you believe in value investing, you should buy the stock right now because it is underpriced and its stock price is likely to increase to its intrinsic value. S2: Based on fundamental and technical analysis, you should buy the stock of Firm Z immediately because the firm clearly has great growth potential. O Both statements are false O Both statements are true O S2 is true but S1 is false O S1 is true but S2 is false

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