# FirstEnergy Corporation (FE)

FirstEnergy Corp is an electric utility headquartered in Akron, Ohio. Its subsidiaries and affiliates are involved in the distribution, transmission, and generation of electricity, as well as energy management and other energy-related 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 27.80% per annum.
- FE price at the close of November 5, 2024 was $41.90 and was inside the primary price channel.
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 21.42% per annum.
- FE price at the close of November 5, 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 FE 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: September 22, 2023

End date: October 30, 2024

a = 2.5526

b = 0.0007

s = 0.0290

Annual growth rate:

Exp(365 × b) – 1

= Exp(365 × 0.0007) – 1

= 27.80%

Price channel spread:

Exp(4 × s) – 1

= Exp(4 × 0.0290) – 1

= 12.29%

#### September 22, 2023 calculations

Top border of price channel:

Exp(Y_{975})

= Exp(a + b × X_{975} + 2 × s)

= Exp(a + b × 1,416 + 2 × s)

= Exp(2.5526 + 0.0007 × 1,416 + 2 × 0.0290)

= Exp(3.5621)

= $35.24

Bottom border of price channel:

Exp(Y_{975})

= Exp(a + b × X_{975} – 2 × s)

= Exp(a + b × 1,416 – 2 × s)

= Exp(2.5526 + 0.0007 × 1,416 – 2 × 0.0290)

= Exp(3.4462)

= $31.38

#### October 30, 2024 calculations

Top border of price channel:

Exp(Y_{1,253})

= Exp(a + b × X_{1,253} + 2 × s)

= Exp(a + b × 1,820 + 2 × s)

= Exp(2.5526 + 0.0007 × 1,820 + 2 × 0.0290)

= Exp(3.8336)

= $46.23

Bottom border of price channel:

Exp(Y_{1,253})

= Exp(a + b × X_{1,253} – 2 × s)

= Exp(a + b × 1,820 – 2 × s)

= Exp(2.5526 + 0.0007 × 1,820 – 2 × 0.0290)

= Exp(3.7176)

= $41.17

#### Description

- The primary trend is increasing.
- The growth rate of the primary trend is 27.80% per annum.
- FE price at the close of November 5, 2024 was $41.90 and was inside the primary price channel.

### Secondary Trend

Start date: August 30, 2024

End date: November 5, 2024

a = 4.9581

b = -0.0007

s = 0.0139

Annual growth rate:

Exp(365 × b) – 1

= Exp(365 × -0.0007) – 1

= -21.42%

Price channel spread:

Exp(4 × s) – 1

= Exp(4 × 0.0139) – 1

= 5.72%

#### August 30, 2024 calculations

Top border of price channel:

Exp(Y_{1,211})

= Exp(a + b × X_{1,211} + 2 × s)

= Exp(a + b × 1,759 + 2 × s)

= Exp(4.9581 + -0.0007 × 1,759 + 2 × 0.0139)

= Exp(3.8240)

= $45.79

Bottom border of price channel:

Exp(Y_{1,211})

= Exp(a + b × X_{1,211} – 2 × s)

= Exp(a + b × 1,759 – 2 × s)

= Exp(4.9581 + -0.0007 × 1,759 – 2 × 0.0139)

= Exp(3.7684)

= $43.31

#### November 5, 2024 calculations

Top border of price channel:

Exp(Y_{1,257})

= Exp(a + b × X_{1,257} + 2 × s)

= Exp(a + b × 1,826 + 2 × s)

= Exp(4.9581 + -0.0007 × 1,826 + 2 × 0.0139)

= Exp(3.7798)

= $43.81

Bottom border of price channel:

Exp(Y_{1,257})

= Exp(a + b × X_{1,257} – 2 × s)

= Exp(a + b × 1,826 – 2 × s)

= Exp(4.9581 + -0.0007 × 1,826 – 2 × 0.0139)

= Exp(3.7242)

= $41.44

#### Description

- The secondary trend is decreasing.
- The decline rate of the secondary trend is 21.42% per annum.
- FE price at the close of November 5, 2024 was inside the secondary price channel.