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If the intrinsic value of a share is less than the market price, which of the most reasonable?

<p><strong>(a) That shares have lesser degree of risk</strong></p> <p><strong>(b)That market is over valuing the shares</strong></p> <p><strong>(c)That he company is high dividend paying,</strong></p> <p><strong>(d) That market is undervaluing the share</strong></p>

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Question ajoutée par VENKITARAMAN KRISHNA MOORTHY VRINDAVAN , Project Execution Manager & Accounts Manager , ALI INTERNATIONAL TRADING EST.
Date de publication: 2014/10/28
FITAH MOHAMED
par FITAH MOHAMED , Financial Manager , FUEL AND ENERGY CO for transportion petroleum materials

ANSWER B 

 

Ziauddin Raziuddin
par Ziauddin Raziuddin , Senior Accountant , Unimar Trading Co. LLC

B. As Intrinsic value is calculated by summing the discounted future income generated by the asset to obtain the present value without referencing the market value, therefore the market has overvalued the shares.

Malik Khalid Mahmood
par Malik Khalid Mahmood , Regional Finance Manager , Leosons International FZ LLC

b) The market is over valuing the shares, oh my god

Arif Hussain
par Arif Hussain , Accounts Payable , Pakistan

B- THE MARKET IS OVER VALUED THE SHARE. 

vastupal shah
par vastupal shah , Accounts General Manager , Al Naaz Jewellery FZC

Answer seems B ) That market is over valuing the shares

Fahd Hameed
par Fahd Hameed , Investment Consultant / SRM , NBP Fullerton Asset Management Limited (NAFAFUNDS)

B

سامي بنجدو
par سامي بنجدو , Director Administration , Société Webixia Tunisie

B

The market is over valued the share.

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