Complete the following 5 exercises
Yes, Greene should have acquired the Heartland stock. By investing in Heartland, Greene would be able to benefit from the expected growth of its share price due to increasing profitability and a favorable market outlook; as well as potential dividend payments if Heartland decides to distribute profits to shareholders.
Furthermore, it is important for Greene’s portfolio to include some degree of diversification given that all his investments are currently concentrated in technology stocks – adding Heartland gives him exposure to another sector which may provide greater returns given the current market conditions.