Stock Price Trends

Embecta Corp (EMBC)

None

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 83.30% per annum.
  • EMBC price at the close of May 8, 2024 was $10.27 and was inside the primary price channel.
  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 21.40% per annum.
  • EMBC price at the close of May 8, 2024 was inside the secondary price channel.

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 EMBC 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: December 26, 2023
End date: May 8, 2024

a = 6.0763

b = -0.0049

s = 0.0425

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0049) – 1
= -83.30%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0425) – 1
= 18.53%

December 26, 2023 calculations

Top border of price channel:

Exp(Y435)
= Exp(a + b × X435 + 2 × s)
= Exp(a + b × 634 + 2 × s)
= Exp(6.0763 + -0.0049 × 634 + 2 × 0.0425)
= Exp(3.0524)
= $21.17

Bottom border of price channel:

Exp(Y435)
= Exp(a + b × X435 – 2 × s)
= Exp(a + b × 634 – 2 × s)
= Exp(6.0763 + -0.0049 × 634 – 2 × 0.0425)
= Exp(2.8824)
= $17.86

May 8, 2024 calculations

Top border of price channel:

Exp(Y527)
= Exp(a + b × X527 + 2 × s)
= Exp(a + b × 768 + 2 × s)
= Exp(6.0763 + -0.0049 × 768 + 2 × 0.0425)
= Exp(2.3953)
= $10.97

Bottom border of price channel:

Exp(Y527)
= Exp(a + b × X527 – 2 × s)
= Exp(a + b × 768 – 2 × s)
= Exp(6.0763 + -0.0049 × 768 – 2 × 0.0425)
= Exp(2.2253)
= $9.26

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 83.30% per annum.
  • EMBC price at the close of May 8, 2024 was $10.27 and was inside the primary price channel.

Secondary Trend

Start date: April 12, 2024
End date: May 8, 2024

a = 2.8415

b = -0.0007

s = 0.0224

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0007) – 1
= -21.40%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0224) – 1
= 9.37%

April 12, 2024 calculations

Top border of price channel:

Exp(Y509)
= Exp(a + b × X509 + 2 × s)
= Exp(a + b × 742 + 2 × s)
= Exp(2.8415 + -0.0007 × 742 + 2 × 0.0224)
= Exp(2.3967)
= $10.99

Bottom border of price channel:

Exp(Y509)
= Exp(a + b × X509 – 2 × s)
= Exp(a + b × 742 – 2 × s)
= Exp(2.8415 + -0.0007 × 742 – 2 × 0.0224)
= Exp(2.3071)
= $10.05

May 8, 2024 calculations

Top border of price channel:

Exp(Y527)
= Exp(a + b × X527 + 2 × s)
= Exp(a + b × 768 + 2 × s)
= Exp(2.8415 + -0.0007 × 768 + 2 × 0.0224)
= Exp(2.3795)
= $10.80

Bottom border of price channel:

Exp(Y527)
= Exp(a + b × X527 – 2 × s)
= Exp(a + b × 768 – 2 × s)
= Exp(2.8415 + -0.0007 × 768 – 2 × 0.0224)
= Exp(2.2900)
= $9.87

Description

  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 21.40% per annum.
  • EMBC price at the close of May 8, 2024 was inside the secondary price channel.