# Arlo Technologies (ARLO)

Arlo Technologies, Inc. provides smart connected devices to monitor environments in real time with a Wi-Fi or cellular connection in the Americas, Europe, Middle East and Africa, and Asia Pacific regions. The company is headquartered in San Jose, California.

## 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 106.92% per annum.
• ARLO price at the close of July 19, 2024 was \$16.59 and was inside the primary price channel.
• The secondary trend is increasing.
• The growth rate of the secondary trend is 32.74% per annum.
• ARLO price at the close of July 19, 2024 was higher than the top border of the secondary price channel by \$0.43 (2.69%).

### 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 ARLO 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: September 22, 2022
End date: July 19, 2024

a = -0.9088

b = 0.0020

s = 0.2128

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0020) – 1
= 106.92%

Exp(4 × s) – 1
= Exp(4 × 0.2128) – 1
= 134.24%

#### September 22, 2022 calculations

Top border of price channel:

Exp(Y800)
= Exp(a + b × X800 + 2 × s)
= Exp(a + b × 1,158 + 2 × s)
= Exp(-0.9088 + 0.0020 × 1,158 + 2 × 0.2128)
= Exp(1.8238)
= \$6.20

Bottom border of price channel:

Exp(Y800)
= Exp(a + b × X800 – 2 × s)
= Exp(a + b × 1,158 – 2 × s)
= Exp(-0.9088 + 0.0020 × 1,158 – 2 × 0.2128)
= Exp(0.9727)
= \$2.64

#### July 19, 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(-0.9088 + 0.0020 × 1,824 + 2 × 0.2128)
= Exp(3.1507)
= \$23.35

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,824 – 2 × s)
= Exp(-0.9088 + 0.0020 × 1,824 – 2 × 0.2128)
= Exp(2.2995)
= \$9.97

#### Description

• The primary trend is increasing.
• The growth rate of the primary trend is 106.92% per annum.
• ARLO price at the close of July 19, 2024 was \$16.59 and was inside the primary price channel.

### Secondary Trend

Start date: May 12, 2023
End date: July 19, 2024

a = 1.1054

b = 0.0008

s = 0.1308

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0008) – 1
= 32.74%

Exp(4 × s) – 1
= Exp(4 × 0.1308) – 1
= 68.74%

#### May 12, 2023 calculations

Top border of price channel:

Exp(Y960)
= Exp(a + b × X960 + 2 × s)
= Exp(a + b × 1,390 + 2 × s)
= Exp(1.1054 + 0.0008 × 1,390 + 2 × 0.1308)
= Exp(2.4455)
= \$11.54

Bottom border of price channel:

Exp(Y960)
= Exp(a + b × X960 – 2 × s)
= Exp(a + b × 1,390 – 2 × s)
= Exp(1.1054 + 0.0008 × 1,390 – 2 × 0.1308)
= Exp(1.9223)
= \$6.84

#### July 19, 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(1.1054 + 0.0008 × 1,824 + 2 × 0.1308)
= Exp(2.7823)
= \$16.16

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,824 – 2 × s)
= Exp(1.1054 + 0.0008 × 1,824 – 2 × 0.1308)
= Exp(2.2591)
= \$9.57

#### Description

• The secondary trend is increasing.
• The growth rate of the secondary trend is 32.74% per annum.
• ARLO price at the close of July 19, 2024 was higher than the top border of the secondary price channel by \$0.43 (2.69%).