Alamo Group Inc (ALG)
Alamo Group Inc. designs, manufactures, distributes and services agricultural and infrastructure maintenance equipment for government and industrial use worldwide. The company is headquartered in Seguin, Texas.
Stock Price Trends
Stock price trends estimated using linear regression.
Key facts
- The primary trend is decreasing.
- The decline rate of the primary trend is 41.65% per annum.
- ALG price at the close of July 25, 2024 was $192.03 and was higher than the top border of the primary price channel by $5.28 (2.83%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 1,711.10% per annum.
- ALG price at the close of July 25, 2024 was inside the secondary price channel.
- The direction of the secondary trend is opposite to the direction of the primary trend. This indicates a possible reversal in the direction of the primary trend.
Linear Regression Model
Model equation:
Yi = α + β × Xi + εi
Top border of price channel:
Exp(Yi) = Exp(a + b × Xi + 2 × s)
Bottom border of price channel:
Exp(Yi) = Exp(a + b × Xi – 2 × s)
where:
i - observation number
Yi - natural logarithm of ALG price
Xi - time index, 1 day interval
σ - standard deviation of εi
a - estimator of α
b - estimator of β
s - estimator of σ
Exp() - calculates the exponent of e
Primary Trend
Start date: January 25, 2024
End date: July 15, 2024
a = 7.8395
b = -0.0015
s = 0.0425
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0015) – 1
= -41.65%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0425) – 1
= 18.54%
January 25, 2024 calculations
Top border of price channel:
Exp(Y1,132)
= Exp(a + b × X1,132 + 2 × s)
= Exp(a + b × 1,644 + 2 × s)
= Exp(7.8395 + -0.0015 × 1,644 + 2 × 0.0425)
= Exp(5.4983)
= $244.29
Bottom border of price channel:
Exp(Y1,132)
= Exp(a + b × X1,132 – 2 × s)
= Exp(a + b × 1,644 – 2 × s)
= Exp(7.8395 + -0.0015 × 1,644 – 2 × 0.0425)
= Exp(5.3283)
= $206.09
July 15, 2024 calculations
Top border of price channel:
Exp(Y1,249)
= Exp(a + b × X1,249 + 2 × s)
= Exp(a + b × 1,816 + 2 × s)
= Exp(7.8395 + -0.0015 × 1,816 + 2 × 0.0425)
= Exp(5.2445)
= $189.52
Bottom border of price channel:
Exp(Y1,249)
= Exp(a + b × X1,249 – 2 × s)
= Exp(a + b × 1,816 – 2 × s)
= Exp(7.8395 + -0.0015 × 1,816 – 2 × 0.0425)
= Exp(5.0745)
= $159.89
Description
- The primary trend is decreasing.
- The decline rate of the primary trend is 41.65% per annum.
- ALG price at the close of July 25, 2024 was $192.03 and was higher than the top border of the primary price channel by $5.28 (2.83%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: July 5, 2024
End date: July 25, 2024
a = -9.2363
b = 0.0079
s = 0.0216
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0079) – 1
= 1,711.10%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0216) – 1
= 9.03%
July 5, 2024 calculations
Top border of price channel:
Exp(Y1,243)
= Exp(a + b × X1,243 + 2 × s)
= Exp(a + b × 1,806 + 2 × s)
= Exp(-9.2363 + 0.0079 × 1,806 + 2 × 0.0216)
= Exp(5.1387)
= $170.50
Bottom border of price channel:
Exp(Y1,243)
= Exp(a + b × X1,243 – 2 × s)
= Exp(a + b × 1,806 – 2 × s)
= Exp(-9.2363 + 0.0079 × 1,806 – 2 × 0.0216)
= Exp(5.0522)
= $156.37
July 25, 2024 calculations
Top border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 + 2 × s)
= Exp(a + b × 1,826 + 2 × s)
= Exp(-9.2363 + 0.0079 × 1,826 + 2 × 0.0216)
= Exp(5.2974)
= $199.82
Bottom border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(-9.2363 + 0.0079 × 1,826 – 2 × 0.0216)
= Exp(5.2109)
= $183.27
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 1,711.10% per annum.
- ALG price at the close of July 25, 2024 was inside the secondary price channel.