What is the intrinsic value of stock

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Nine Point Industries recently paid its annual dividend of $1.79, and reported an ROE of 7%. The firm pays out 50% of its earnings as dividends. The stock has a beta of 1.19. The current risk-free rate is 2.26% and the market return is 18.00%. Assuming that CAPM holds, what is the intrinsic value of this stock?

Reference no: EM133004561

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