CH Robinson Worldwide Inc (CHRW)
C.H. Robinson is an American Fortune 500 provider of multimodal transportation services and third-party logistics (3PL). The company offers freight transportation, transportation management, brokerage and warehousing. It offers truckload, less than truckload, air freight, intermodal, and ocean transportation.
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 12.79% per annum.
- CHRW price at the close of July 26, 2024 was $89.47 and was higher than the top border of the primary price channel by $3.77 (4.40%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 85.48% per annum.
- CHRW 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 CHRW 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: March 1, 2022
End date: May 21, 2024
a = 5.0065
b = -0.0004
s = 0.0642
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0004) – 1
= -12.79%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0642) – 1
= 29.25%
March 1, 2022 calculations
Top border of price channel:
Exp(Y653)
= Exp(a + b × X653 + 2 × s)
= Exp(a + b × 946 + 2 × s)
= Exp(5.0065 + -0.0004 × 946 + 2 × 0.0642)
= Exp(4.7801)
= $119.11
Bottom border of price channel:
Exp(Y653)
= Exp(a + b × X653 – 2 × s)
= Exp(a + b × 946 – 2 × s)
= Exp(5.0065 + -0.0004 × 946 – 2 × 0.0642)
= Exp(4.5235)
= $92.15
May 21, 2024 calculations
Top border of price channel:
Exp(Y1,212)
= Exp(a + b × X1,212 + 2 × s)
= Exp(a + b × 1,758 + 2 × s)
= Exp(5.0065 + -0.0004 × 1,758 + 2 × 0.0642)
= Exp(4.4756)
= $87.85
Bottom border of price channel:
Exp(Y1,212)
= Exp(a + b × X1,212 – 2 × s)
= Exp(a + b × 1,758 – 2 × s)
= Exp(5.0065 + -0.0004 × 1,758 – 2 × 0.0642)
= Exp(4.2190)
= $67.96
Description
- The primary trend is decreasing.
- The decline rate of the primary trend is 12.79% per annum.
- CHRW price at the close of July 26, 2024 was $89.47 and was higher than the top border of the primary price channel by $3.77 (4.40%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: February 14, 2024
End date: July 26, 2024
a = 1.4160
b = 0.0017
s = 0.0451
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0017) – 1
= 85.48%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0451) – 1
= 19.76%
February 14, 2024 calculations
Top border of price channel:
Exp(Y1,145)
= Exp(a + b × X1,145 + 2 × s)
= Exp(a + b × 1,661 + 2 × s)
= Exp(1.4160 + 0.0017 × 1,661 + 2 × 0.0451)
= Exp(4.3175)
= $75.00
Bottom border of price channel:
Exp(Y1,145)
= Exp(a + b × X1,145 – 2 × s)
= Exp(a + b × 1,661 – 2 × s)
= Exp(1.4160 + 0.0017 × 1,661 – 2 × 0.0451)
= Exp(4.1371)
= $62.62
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(1.4160 + 0.0017 × 1,824 + 2 × 0.0451)
= Exp(4.5933)
= $98.82
Bottom border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,824 – 2 × s)
= Exp(1.4160 + 0.0017 × 1,824 – 2 × 0.0451)
= Exp(4.4130)
= $82.52
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 85.48% per annum.
- CHRW price at the close of July 26, 2024 was inside the secondary price channel.