question archive A stock market analyst is able to identify mispriced stock by analyzing the financial statements of the company's stock

A stock market analyst is able to identify mispriced stock by analyzing the financial statements of the company's stock

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A stock market analyst is able to identify mispriced stock by analyzing the financial statements of the company's stock. what is the efficiency form of this market? Explain.

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This would be weak form efficient.

Under weak form efficient, the stock price reflects all historical data.

Under semi-strong form efficient markets, the stock price reflects all historical and public information, so mispricing cannot be identified by analyzing financial data, so the market is not semi-strong form efficient.

Under strong form efficient markets, the stock price reflects all historical, public and non-public information, so mispricing cannot be identified, so the market is not strong form efficient.