L3Harris Technologies Inc (LHX)
L3Harris Technologies (L3Harris) is an American technology company, defense contractor and information technology services provider that produces C6ISR systems and products, wireless equipment, tactical radios, avionics and electronic systems, night vision equipment, and both terrestrial and spaceborne antennas for use in the government, defense, and commercial sectors.
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 41.15% per annum.
- LHX price at the close of July 25, 2024 was $243.27 and was inside the primary price channel.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 23.84% per annum.
- LHX price at the close of July 25, 2024 was higher than the top border of the secondary price channel by $3.78 (1.58%).
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 LHX 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: August 15, 2023
End date: July 25, 2024
a = 3.7363
b = 0.0009
s = 0.0372
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0009) – 1
= 41.15%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0372) – 1
= 16.03%
August 15, 2023 calculations
Top border of price channel:
Exp(Y1,020)
= Exp(a + b × X1,020 + 2 × s)
= Exp(a + b × 1,481 + 2 × s)
= Exp(3.7363 + 0.0009 × 1,481 + 2 × 0.0372)
= Exp(5.2090)
= $182.91
Bottom border of price channel:
Exp(Y1,020)
= Exp(a + b × X1,020 – 2 × s)
= Exp(a + b × 1,481 – 2 × s)
= Exp(3.7363 + 0.0009 × 1,481 – 2 × 0.0372)
= Exp(5.0603)
= $157.64
July 25, 2024 calculations
Top border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 + 2 × s)
= Exp(a + b × 1,826 + 2 × s)
= Exp(3.7363 + 0.0009 × 1,826 + 2 × 0.0372)
= Exp(5.5348)
= $253.34
Bottom border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(3.7363 + 0.0009 × 1,826 – 2 × 0.0372)
= Exp(5.3861)
= $218.34
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 41.15% per annum.
- LHX price at the close of July 25, 2024 was $243.27 and was inside the primary price channel.
Secondary Trend
Start date: December 4, 2023
End date: July 25, 2024
a = 4.3591
b = 0.0006
s = 0.0249
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0006) – 1
= 23.84%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0249) – 1
= 10.48%
December 4, 2023 calculations
Top border of price channel:
Exp(Y1,097)
= Exp(a + b × X1,097 + 2 × s)
= Exp(a + b × 1,592 + 2 × s)
= Exp(4.3591 + 0.0006 × 1,592 + 2 × 0.0249)
= Exp(5.3415)
= $208.82
Bottom border of price channel:
Exp(Y1,097)
= Exp(a + b × X1,097 – 2 × s)
= Exp(a + b × 1,592 – 2 × s)
= Exp(4.3591 + 0.0006 × 1,592 – 2 × 0.0249)
= Exp(5.2417)
= $189.00
July 25, 2024 calculations
Top border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 + 2 × s)
= Exp(a + b × 1,826 + 2 × s)
= Exp(4.3591 + 0.0006 × 1,826 + 2 × 0.0249)
= Exp(5.4785)
= $239.49
Bottom border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(4.3591 + 0.0006 × 1,826 – 2 × 0.0249)
= Exp(5.3788)
= $216.76
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 23.84% per annum.
- LHX price at the close of July 25, 2024 was higher than the top border of the secondary price channel by $3.78 (1.58%).