Calculate the return as per CAPM for each of the companys stock, identify whether they are underpriced,
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Calculate the return as per CAPM for each of the company’s stock, identify whether they are underpriced, overpriced or correctly priced and advise accordingly. Returns of T- Bill is 9%.
Stock Expected Return Beta
Titan 24% 1.8
Nestle 30% 1.5
Eicher Motors 12% 1.2
HDFC 25.9% 1.3
Sensex 22%
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Related Book For
Statistics and Data Analysis for Financial Engineering
ISBN: 978-1461427490
1st edition
Authors: David Ruppert
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