Given the following information PART ONE Average Returns, Variance and Standard Deviation of the stocks Analyze these values for each firm Compare these values between firms Beta Compare and contrast these Beta estimates What is the difference between the two types of measures How do these ideas contribute to the valuation of the firm PART TWO Give an answer as to whether or not you should buy these stocks and explain why Please be detailed and refer back to previous information Beta CAPM Return Variance Amazon (AMZN) 1 143233 0 064856 0 006529 Standard Deviation 0 080802 Netflix (NFLX) 0 759231 0 051838 0 009903 0 099515

Question: Given the following information: PART ONE Average Returns, Variance and Standard Deviation of the stocks. Analyze these values for each firm Compare these values

Given the following information:

Beta CAPM Return Variance Amazon (AMZN) 1.143233 0.064856 0.006529 Standard Deviation 0.080802 Netflix (NFLX)

PART ONE

Average Returns, Variance and Standard Deviation of the stocks.
- Analyze these values for each firm
- Compare these values between firms
Beta
- Compare and contrast these Beta estimates
What is the difference between the two types of measures?
How do these ideas contribute to the valuation of the firm?

PART TWO

Give an answer as to whether or not you should buy these stocks and explain why. Please be detailed and refer back to previous information.

Beta CAPM Return Variance Amazon (AMZN) 1.143233 0.064856 0.006529 Standard Deviation 0.080802 Netflix (NFLX) 0.759231 0.051838 0.009903 0.099515

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PART ONE Average Returns Variance and Standard Deviation of the stocks For Amazon AMZN Average Return Not provided in the given information Variance 0006529 Standard Deviation 0080802 For Netflix NFLX ... View full answer

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