cityboy

1 and 3 are simple: Short term mispricing can be exploited by making short term bets .If you think stock is overpriced according to DDM or another ratio that is mean-reverting longer term , borrow and short the stock.

Buy and hold the stock if you think it is underpriced and the market hasn't realized it yet, but will soon. These are tactical moves , not related to a longer term fundamental analysis ( by sector strength or other macro expectation)