# Enhabit Inc. (EHAB)

Enhabit, Inc. provides home health and hospice services in the United States.

## 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 448.04% per annum.
- EHAB price at the close of August 13, 2024 was $8.81 and was lower than the bottom border of the primary price channel by $19.92 (69.34%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 16.99% per annum.
- EHAB price at the close of August 13, 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:

Y_{i} = α + β × X_{i} + ε_{i}

Top border of price channel:

Exp(Y_{i}) = Exp(a + b × X_{i} + 2 × s)

Bottom border of price channel:

Exp(Y_{i}) = Exp(a + b × X_{i} – 2 × s)

where:

i - observation number

Y_{i} - natural logarithm of EHAB price

X_{i} - time index, 1 day interval

σ - standard deviation of ε_{i}

a - estimator of α

b - estimator of β

s - estimator of σ

Exp() - calculates the exponent of e

### Primary Trend

Start date: October 3, 2023

End date: December 28, 2023

a = -0.1047

b = 0.0047

s = 0.0724

Annual growth rate:

Exp(365 × b) – 1

= Exp(365 × 0.0047) – 1

= 448.04%

Price channel spread:

Exp(4 × s) – 1

= Exp(4 × 0.0724) – 1

= 33.58%

#### October 3, 2023 calculations

Top border of price channel:

Exp(Y_{315})

= Exp(a + b × X_{315} + 2 × s)

= Exp(a + b × 459 + 2 × s)

= Exp(-0.1047 + 0.0047 × 459 + 2 × 0.0724)

= Exp(2.1793)

= $8.84

Bottom border of price channel:

Exp(Y_{315})

= Exp(a + b × X_{315} – 2 × s)

= Exp(a + b × 459 – 2 × s)

= Exp(-0.1047 + 0.0047 × 459 – 2 × 0.0724)

= Exp(1.8898)

= $6.62

#### December 28, 2023 calculations

Top border of price channel:

Exp(Y_{375})

= Exp(a + b × X_{375} + 2 × s)

= Exp(a + b × 545 + 2 × s)

= Exp(-0.1047 + 0.0047 × 545 + 2 × 0.0724)

= Exp(2.5802)

= $13.20

Bottom border of price channel:

Exp(Y_{375})

= Exp(a + b × X_{375} – 2 × s)

= Exp(a + b × 545 – 2 × s)

= Exp(-0.1047 + 0.0047 × 545 – 2 × 0.0724)

= Exp(2.2906)

= $9.88

#### Description

- The primary trend is increasing.
- The growth rate of the primary trend is 448.04% per annum.
- EHAB price at the close of August 13, 2024 was $8.81 and was lower than the bottom border of the primary price channel by $19.92 (69.34%). This indicates a possible reversal in the primary trend direction.

### Secondary Trend

Start date: November 8, 2023

End date: August 13, 2024

a = 2.6059

b = -0.0005

s = 0.0787

Annual growth rate:

Exp(365 × b) – 1

= Exp(365 × -0.0005) – 1

= -16.99%

Price channel spread:

Exp(4 × s) – 1

= Exp(4 × 0.0787) – 1

= 37.01%

#### November 8, 2023 calculations

Top border of price channel:

Exp(Y_{341})

= Exp(a + b × X_{341} + 2 × s)

= Exp(a + b × 495 + 2 × s)

= Exp(2.6059 + -0.0005 × 495 + 2 × 0.0787)

= Exp(2.5108)

= $12.31

Bottom border of price channel:

Exp(Y_{341})

= Exp(a + b × X_{341} – 2 × s)

= Exp(a + b × 495 – 2 × s)

= Exp(2.6059 + -0.0005 × 495 – 2 × 0.0787)

= Exp(2.1959)

= $8.99

#### August 13, 2024 calculations

Top border of price channel:

Exp(Y_{531})

= Exp(a + b × X_{531} + 2 × s)

= Exp(a + b × 774 + 2 × s)

= Exp(2.6059 + -0.0005 × 774 + 2 × 0.0787)

= Exp(2.3684)

= $10.68

Bottom border of price channel:

Exp(Y_{531})

= Exp(a + b × X_{531} – 2 × s)

= Exp(a + b × 774 – 2 × s)

= Exp(2.6059 + -0.0005 × 774 – 2 × 0.0787)

= Exp(2.0536)

= $7.80

#### Description

- The secondary trend is decreasing.
- The decline rate of the secondary trend is 16.99% per annum.
- EHAB price at the close of August 13, 2024 was inside the secondary price channel.