A stock has a beta of 0.70 . The risk free rate is 0.636% and...

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A stock has a beta of 0.70 . The risk free rate is 0.636% and the market risk premium is 5%. What is the fair return on the stock? QUESTION 2 A stock is currently selling for $90.35 and is expected to sell for $102.40 in 1 year. If the company pays a dividend of $1.47 what is the stock's HPR? QUESTION 3 A stock has an CAPM retum of 4.4% and an HPR retum of 5.5%. Which of the following is true? You should short the stock because it is undervalued. You should short the stock because it is overvalued. You should buy the stock because it is overvalued. You should buy the stock because it is undervalued

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