hi guys I understand that market efficiency refers to the idea that overvaluation and undervaluation of stocks will not be possible due to the fact that every stock is traded at its intrinsic value.

Question: so lets say that the market is efficient in the long term and the announcement of a new issue of stock (SEO)which is used to finance a +NPV project, has resulted in a drop in stock price. would it still be to the original shareholders' benefit to issue these stocks now?

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