Applied Materials Inc (AMAT)
Applied Materials, Inc. is an American corporation that supplies equipment, services and software for the manufacture of semiconductor (integrated circuit) chips for electronics, flat panel displays for computers, smartphones and televisions, and solar products. The company also supplies equipment to produce coatings for flexible electronics, packaging and other applications. The company is headquartered in Santa Clara, California, in Silicon Valley.
Stock Price Trends
Stock price trends estimated using linear regression.
Key facts
- The primary trend is increasing.
- The growth rate of the primary trend is 65.15% per annum.
- AMAT price at the close of April 26, 2024 was $203.38 and was inside the primary price channel.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 152.77% per annum.
- AMAT price at the close of April 26, 2024 was inside the secondary price channel.
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 AMAT 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: August 30, 2022
End date: April 26, 2024
a = 2.7804
b = 0.0014
s = 0.0758
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0014) – 1
= 65.15%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0758) – 1
= 35.43%
August 30, 2022 calculations
Top border of price channel:
Exp(Y842)
= Exp(a + b × X842 + 2 × s)
= Exp(a + b × 1,219 + 2 × s)
= Exp(2.7804 + 0.0014 × 1,219 + 2 × 0.0758)
= Exp(4.6075)
= $100.24
Bottom border of price channel:
Exp(Y842)
= Exp(a + b × X842 – 2 × s)
= Exp(a + b × 1,219 – 2 × s)
= Exp(2.7804 + 0.0014 × 1,219 – 2 × 0.0758)
= Exp(4.3042)
= $74.01
April 26, 2024 calculations
Top border of price channel:
Exp(Y1,258)
= Exp(a + b × X1,258 + 2 × s)
= Exp(a + b × 1,824 + 2 × s)
= Exp(2.7804 + 0.0014 × 1,824 + 2 × 0.0758)
= Exp(5.4391)
= $230.24
Bottom border of price channel:
Exp(Y1,258)
= Exp(a + b × X1,258 – 2 × s)
= Exp(a + b × 1,824 – 2 × s)
= Exp(2.7804 + 0.0014 × 1,824 – 2 × 0.0758)
= Exp(5.1358)
= $170.00
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 65.15% per annum.
- AMAT price at the close of April 26, 2024 was $203.38 and was inside the primary price channel.
Secondary Trend
Start date: October 18, 2023
End date: April 26, 2024
a = 0.7469
b = 0.0025
s = 0.0530
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0025) – 1
= 152.77%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0530) – 1
= 23.61%
October 18, 2023 calculations
Top border of price channel:
Exp(Y1,127)
= Exp(a + b × X1,127 + 2 × s)
= Exp(a + b × 1,633 + 2 × s)
= Exp(0.7469 + 0.0025 × 1,633 + 2 × 0.0530)
= Exp(5.0017)
= $148.66
Bottom border of price channel:
Exp(Y1,127)
= Exp(a + b × X1,127 – 2 × s)
= Exp(a + b × 1,633 – 2 × s)
= Exp(0.7469 + 0.0025 × 1,633 – 2 × 0.0530)
= Exp(4.7897)
= $120.27
April 26, 2024 calculations
Top border of price channel:
Exp(Y1,258)
= Exp(a + b × X1,258 + 2 × s)
= Exp(a + b × 1,824 + 2 × s)
= Exp(0.7469 + 0.0025 × 1,824 + 2 × 0.0530)
= Exp(5.4869)
= $241.51
Bottom border of price channel:
Exp(Y1,258)
= Exp(a + b × X1,258 – 2 × s)
= Exp(a + b × 1,824 – 2 × s)
= Exp(0.7469 + 0.0025 × 1,824 – 2 × 0.0530)
= Exp(5.2750)
= $195.38
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 152.77% per annum.
- AMAT price at the close of April 26, 2024 was inside the secondary price channel.