Other things held constant,if a firm takes on a project that increases its beta coefficient,unless the increased beta is offset by a higher expected return,the firm's stock price will decline.

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If a firm takes on a project that increases its beta coefficient, it means that the firm is taking on more systematic risk. Investors generally require a higher return for holding such risky assets. If the firm does not offset the increased beta with a higher expected return, investors may sell off their shares, causing the stock price to decline.

Other Things Held Constant,if a Firm Takes on a Project