Corporate Finance: Instructor\'s Manual Applied Corporate Finance

Aswath Damodaran 109

The Regression Output

! Using monthly returns from 1999 to 2003 , we ran a regression of returns on

Disney stock against the S*P 500. The output is below:

ReturnsDisney = 0. 0467 % + 1. 01 ReturnsS & P 500 (R squared= 29 %)

( 0. 20 )

The standard error of the beta is reported in brackets under the beta.