FIN534 Week 4 Scenario Script: The CAPM and Market Efficiency and Valuing Common Stocks Slide Scene/Interaction Narration # Slide 1 Scene 1 Slide 2...

"Risk and Return"  Please respond to the following:

• * From the e-Activity, determine whether stock prices are affected more by long-term or short-term performance. Provide one (1) example of the effect that supports your claim.
• * From the scenario, value a share of TFC’s stock using a growth model method and compare that value to the current trading price of a share of TFC. Determine whether the stock is undervalued or overvalued. Provide a rationale for your response.