The Boeing Company (BA)
The Boeing Company is an American multinational corporation that designs, manufactures, and sells airplanes, rotorcraft, rockets, satellites, telecommunications equipment, and missiles worldwide. The company also provides leasing and product support services.
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 54.65% per annum.
- BA price at the close of April 26, 2024 was $167.22 and was lower than the bottom border of the primary price channel by $98.56 (37.08%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 67.47% per annum.
- BA price at the close of April 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 BA 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, 2022
End date: September 7, 2023
a = 3.5837
b = 0.0012
s = 0.0899
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0012) – 1
= 54.65%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0899) – 1
= 43.28%
April 26, 2022 calculations
Top border of price channel:
Exp(Y755)
= Exp(a + b × X755 + 2 × s)
= Exp(a + b × 1,093 + 2 × s)
= Exp(3.5837 + 0.0012 × 1,093 + 2 × 0.0899)
= Exp(5.0691)
= $159.03
Bottom border of price channel:
Exp(Y755)
= Exp(a + b × X755 – 2 × s)
= Exp(a + b × 1,093 – 2 × s)
= Exp(3.5837 + 0.0012 × 1,093 – 2 × 0.0899)
= Exp(4.7095)
= $110.99
September 7, 2023 calculations
Top border of price channel:
Exp(Y1,098)
= Exp(a + b × X1,098 + 2 × s)
= Exp(a + b × 1,592 + 2 × s)
= Exp(3.5837 + 0.0012 × 1,592 + 2 × 0.0899)
= Exp(5.6651)
= $288.63
Bottom border of price channel:
Exp(Y1,098)
= Exp(a + b × X1,098 – 2 × s)
= Exp(a + b × 1,592 – 2 × s)
= Exp(3.5837 + 0.0012 × 1,592 – 2 × 0.0899)
= Exp(5.3055)
= $201.45
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 54.65% per annum.
- BA price at the close of April 26, 2024 was $167.22 and was lower than the bottom border of the primary price channel by $98.56 (37.08%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: December 8, 2023
End date: April 26, 2024
a = 10.7263
b = -0.0031
s = 0.0423
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0031) – 1
= -67.47%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0423) – 1
= 18.45%
December 8, 2023 calculations
Top border of price channel:
Exp(Y1,163)
= Exp(a + b × X1,163 + 2 × s)
= Exp(a + b × 1,684 + 2 × s)
= Exp(10.7263 + -0.0031 × 1,684 + 2 × 0.0423)
= Exp(5.6302)
= $278.71
Bottom border of price channel:
Exp(Y1,163)
= Exp(a + b × X1,163 – 2 × s)
= Exp(a + b × 1,684 – 2 × s)
= Exp(10.7263 + -0.0031 × 1,684 – 2 × 0.0423)
= Exp(5.4608)
= $235.29
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(10.7263 + -0.0031 × 1,824 + 2 × 0.0423)
= Exp(5.1995)
= $181.17
Bottom border of price channel:
Exp(Y1,258)
= Exp(a + b × X1,258 – 2 × s)
= Exp(a + b × 1,824 – 2 × s)
= Exp(10.7263 + -0.0031 × 1,824 – 2 × 0.0423)
= Exp(5.0301)
= $152.95
Description
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 67.47% per annum.
- BA price at the close of April 26, 2024 was inside the secondary price channel.