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Please answer the questions below, attached trading data. Trading Data

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Please answer the questions below:
1- Find the average daily market return (return for Al-Quds index)
2- Find the average daily return for Bop
3- Find the average daily return for PALTEL
4- Find the expected daily return for PEC
5- Find the standard deviation for OOREDOO
6- Find the standard deviation for PADICO
7- Find the coefficient of variation for AIG (calculate it as r/sd)
8- Find the coefficient of variation for APIC (using the formula r/sd)
9- Based on the SD, rank the following stocks from the least risky to the highest risk
Lowest Risk
Answer 1Choose.BOP PEC AIG OOREDOO PALTEL APIC
The second rank in the lowest risk
Answer 2Choose.BOP PEC AIG OOREDOO PALTEL APIC
The second rank in the highest risk
Answer 3Choose.BOP PEC AIG OOREDOO PALTEL APIC
Highest Risk
Answer 4Choose..BOP PEC AIG OOREDOO PALTEL APIC
10- Find Beta for APIC
11- Find beta for PALTEL
12- Rank the stocks from the highest to the lowest beta
Lowest Beta
Answer 1Choose..AIG PADICO BOP PALTEL APIC OOREDOO
The second rank in the lowest beta
Answer 2Choose..AIG PADICO BOP PALTEL APIC OOREDOO
The second rank in highest beta
Answer 3Choose..AIG PADICO BOP PALTEL APIC OOREDOO
Highest Beta
Answer 4Choose..AIG PADICO BOP PALTEL APIC OOREDOO
13- Explain the differences in ranking stocks according to the standard deviation (SD) and beta. This should entail explaining the different aspects that SD
and beta measure, and why a stock that has the highest standard deviation might not have the highest beta.
14- Based on CAPM, and assuming a risk-free rate of 2% and a market return of 5.8%, what is the required return for PEC?
15- Using CAPM, and assuming a risk-free rate of 2% and a market return of 5.8%, what is the required return for PALTEL?
16- What is the dividend per share that PALTEL distributed for 2019?
17- Based on the zero-growth model, what is the intrinsic value of PALTEL stock?
18- Based on the zero-growth model and taking into consideration the current market price of PALTEL shares, is PALTEL overvalued or undervalued?
Select one:
a. Undervalued
b. Overvalued
19- Based on the zero-growth model and taking into consideration the current market price of PEC, is PEC stock overvalued or undervalued?
Select one:
a. Overvalued
b. Undervalued
20- Find the book value per share for OOREDOO (you must look for the required information in OOREDOO annual report for 2019)?
21- Based on the Book Value Per Share, is OOREDOO overvalued or undervalued?
Select one:
a. Overvalued
b. Undervalued
22- Using a P/E multiple approach and assuming an average P/E ratio for the investment industry of 12.94, what is PADICO intrinsic value?
23- Based on the P/E multiple approach, is PADICO overvalued or undervalued?
Select one:
a. Overvalued
b. Undervalued
24- Select at least two stocks you would not invest in based on the above analysis and their current market price
No
Answer 1Choose..PEC APIC OOREDOO PALTEL
No
Answer 2Choose.PEC APIC OOREDOO PALTEL
25- Please provide a satisfactory analysis (around 300 words) of why the above exercises are not sufficient to make a sound investment decision. The
discussion may refer to deficiencies in the models utilized, unrealistic assumptions, theoretical shortcomings, etc. The mark depends on the depth of your
analysis and your ability to address new knowledge that was not covered in class.
Subject: Business, Finance

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