You are a value investor analyzing a stock with a beta of 0.78. The historical market risk
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You are a value investor analyzing a stock with a beta of 0.78. The historical market risk premium is 4.8% and the 3-month Treasury bill is 2%. The stock is currently priced to yield 7.5%. Would you purchase the stock? Why or why not?
Related Book For
Fundamentals of Corporate Finance
ISBN: 978-1259024962
6th Canadian edition
Authors: Richard Brealey, Stewart Myers, Alan Marcus, Devashis Mitra, Elizabeth Maynes, William Lim
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