Emerson Electric Company (EMR)
Emerson Electric Co. is an American multinational corporation headquartered in Ferguson, Missouri. The Fortune 500 company manufactures products and provides engineering services for a wide range of industrial, commercial, and consumer markets.
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 70.00% per annum.
- EMR price at the close of April 29, 2025 was $105.09 and was higher than the top border of the primary price channel by $2.31 (2.25%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 205.85% per annum.
- EMR price at the close of April 29, 2025 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 EMR 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: January 21, 2025
End date: April 23, 2025
a = 10.5898
b = -0.0033
s = 0.0309
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0033) – 1
= -70.00%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0309) – 1
= 13.14%
January 21, 2025 calculations
Top border of price channel:
Exp(Y1,187)
= Exp(a + b × X1,187 + 2 × s)
= Exp(a + b × 1,727 + 2 × s)
= Exp(10.5898 + -0.0033 × 1,727 + 2 × 0.0309)
= Exp(4.9558)
= $141.99
Bottom border of price channel:
Exp(Y1,187)
= Exp(a + b × X1,187 – 2 × s)
= Exp(a + b × 1,727 – 2 × s)
= Exp(10.5898 + -0.0033 × 1,727 – 2 × 0.0309)
= Exp(4.8323)
= $125.50
April 23, 2025 calculations
Top border of price channel:
Exp(Y1,251)
= Exp(a + b × X1,251 + 2 × s)
= Exp(a + b × 1,819 + 2 × s)
= Exp(10.5898 + -0.0033 × 1,819 + 2 × 0.0309)
= Exp(4.6523)
= $104.83
Bottom border of price channel:
Exp(Y1,251)
= Exp(a + b × X1,251 – 2 × s)
= Exp(a + b × 1,819 – 2 × s)
= Exp(10.5898 + -0.0033 × 1,819 – 2 × 0.0309)
= Exp(4.5289)
= $92.65
Description
- The primary trend is decreasing.
- The decline rate of the primary trend is 70.00% per annum.
- EMR price at the close of April 29, 2025 was $105.09 and was higher than the top border of the primary price channel by $2.31 (2.25%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: April 4, 2025
End date: April 29, 2025
a = -0.9429
b = 0.0031
s = 0.0278
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0031) – 1
= 205.85%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0278) – 1
= 11.75%
April 4, 2025 calculations
Top border of price channel:
Exp(Y1,239)
= Exp(a + b × X1,239 + 2 × s)
= Exp(a + b × 1,800 + 2 × s)
= Exp(-0.9429 + 0.0031 × 1,800 + 2 × 0.0278)
= Exp(4.6256)
= $102.07
Bottom border of price channel:
Exp(Y1,239)
= Exp(a + b × X1,239 – 2 × s)
= Exp(a + b × 1,800 – 2 × s)
= Exp(-0.9429 + 0.0031 × 1,800 – 2 × 0.0278)
= Exp(4.5146)
= $91.34
April 29, 2025 calculations
Top border of price channel:
Exp(Y1,255)
= Exp(a + b × X1,255 + 2 × s)
= Exp(a + b × 1,825 + 2 × s)
= Exp(-0.9429 + 0.0031 × 1,825 + 2 × 0.0278)
= Exp(4.7022)
= $110.19
Bottom border of price channel:
Exp(Y1,255)
= Exp(a + b × X1,255 – 2 × s)
= Exp(a + b × 1,825 – 2 × s)
= Exp(-0.9429 + 0.0031 × 1,825 – 2 × 0.0278)
= Exp(4.5911)
= $98.60
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 205.85% per annum.
- EMR price at the close of April 29, 2025 was inside the secondary price channel.