Stock Price Trends

American Homes 4 Rent (AMH)

American Homes 4 Rent (NYSE: AMH) is a leader in the single-family rental industry and American Homes 4 Rent is fast becoming a nationally recognized rental housing brand, known for its high quality, good value and satisfaction. of tenants.

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 11.90% per annum.
  • AMH price at the close of July 26, 2024 was $35.39 and was higher than the top border of the primary price channel by $5.87 (19.89%). This indicates a possible reversal in the primary trend direction.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 11.87% per annum.
  • AMH price at the close of July 26, 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 AMH 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: April 26, 2021
End date: May 4, 2023

a = 3.8958

b = -0.0003

s = 0.0612

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0003) – 1
= -11.90%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0612) – 1
= 27.71%

April 26, 2021 calculations

Top border of price channel:

Exp(Y439)
= Exp(a + b × X439 + 2 × s)
= Exp(a + b × 637 + 2 × s)
= Exp(3.8958 + -0.0003 × 637 + 2 × 0.0612)
= Exp(3.7970)
= $44.57

Bottom border of price channel:

Exp(Y439)
= Exp(a + b × X439 – 2 × s)
= Exp(a + b × 637 – 2 × s)
= Exp(3.8958 + -0.0003 × 637 – 2 × 0.0612)
= Exp(3.5524)
= $34.90

May 4, 2023 calculations

Top border of price channel:

Exp(Y949)
= Exp(a + b × X949 + 2 × s)
= Exp(a + b × 1,375 + 2 × s)
= Exp(3.8958 + -0.0003 × 1,375 + 2 × 0.0612)
= Exp(3.5408)
= $34.50

Bottom border of price channel:

Exp(Y949)
= Exp(a + b × X949 – 2 × s)
= Exp(a + b × 1,375 – 2 × s)
= Exp(3.8958 + -0.0003 × 1,375 – 2 × 0.0612)
= Exp(3.2962)
= $27.01

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 11.90% per annum.
  • AMH price at the close of July 26, 2024 was $35.39 and was higher than the top border of the primary price channel by $5.87 (19.89%). This indicates a possible reversal in the primary trend direction.

Secondary Trend

Start date: September 26, 2022
End date: July 26, 2024

a = 3.0530

b = 0.0003

s = 0.0398

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0003) – 1
= 11.87%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0398) – 1
= 17.28%

September 26, 2022 calculations

Top border of price channel:

Exp(Y797)
= Exp(a + b × X797 + 2 × s)
= Exp(a + b × 1,155 + 2 × s)
= Exp(3.0530 + 0.0003 × 1,155 + 2 × 0.0398)
= Exp(3.4875)
= $32.70

Bottom border of price channel:

Exp(Y797)
= Exp(a + b × X797 – 2 × s)
= Exp(a + b × 1,155 – 2 × s)
= Exp(3.0530 + 0.0003 × 1,155 – 2 × 0.0398)
= Exp(3.3281)
= $27.89

July 26, 2024 calculations

Top border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 + 2 × s)
= Exp(a + b × 1,824 + 2 × s)
= Exp(3.0530 + 0.0003 × 1,824 + 2 × 0.0398)
= Exp(3.6930)
= $40.17

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,824 – 2 × s)
= Exp(3.0530 + 0.0003 × 1,824 – 2 × 0.0398)
= Exp(3.5337)
= $34.25

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 11.87% per annum.
  • AMH price at the close of July 26, 2024 was inside the secondary price channel.