Blast! stock has a beta of 0.7 and is currently selling for 23$. Your DCF analysis indicates that Blast! will trade at 22$ a year from today and you expect that the company will pay dividend of 2$ for the year. If risk free rate is 0.02, and the market risk premium is 0.12, what is the alpha of this stock?

Answer rating: 100% (QA)

ANS WER The alpha of the stock is 0 08 WORK ING Beta 0 7 R isk f... View the full answer