Linde plc Ordinary Shares (LIN)
Linde plc is a multinational chemical company. It is the largest industrial gas company by market share and revenue. It serves customers in the healthcare, petroleum refining, manufacturing, food, beverage carbonation, fiber-optics, steel making, aerospace, chemicals, electronics and water treatment industries. The company's primary business is the manufacturing and distribution of atmospheric gases, including oxygen, nitrogen, argon, rare gases, and process gases, including carbon dioxide, helium, hydrogen, electronic gases, specialty gases, and acetylene.
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 31.72% per annum.
- LIN price at the close of July 25, 2024 was $443.03 and was lower than the bottom border of the primary price channel by $3.76 (0.84%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 16.34% per annum.
- LIN price at the close of July 25, 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:
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 LIN 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: June 27, 2022
End date: May 1, 2024
a = 4.8067
b = 0.0008
s = 0.0415
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0008) – 1
= 31.72%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0415) – 1
= 18.06%
June 27, 2022 calculations
Top border of price channel:
Exp(Y735)
= Exp(a + b × X735 + 2 × s)
= Exp(a + b × 1,067 + 2 × s)
= Exp(4.8067 + 0.0008 × 1,067 + 2 × 0.0415)
= Exp(5.6952)
= $297.44
Bottom border of price channel:
Exp(Y735)
= Exp(a + b × X735 – 2 × s)
= Exp(a + b × 1,067 – 2 × s)
= Exp(4.8067 + 0.0008 × 1,067 – 2 × 0.0415)
= Exp(5.5292)
= $251.93
May 1, 2024 calculations
Top border of price channel:
Exp(Y1,199)
= Exp(a + b × X1,199 + 2 × s)
= Exp(a + b × 1,741 + 2 × s)
= Exp(4.8067 + 0.0008 × 1,741 + 2 × 0.0415)
= Exp(6.2040)
= $494.71
Bottom border of price channel:
Exp(Y1,199)
= Exp(a + b × X1,199 – 2 × s)
= Exp(a + b × 1,741 – 2 × s)
= Exp(4.8067 + 0.0008 × 1,741 – 2 × 0.0415)
= Exp(6.0379)
= $419.02
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 31.72% per annum.
- LIN price at the close of July 25, 2024 was $443.03 and was lower than the bottom border of the primary price channel by $3.76 (0.84%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: February 22, 2024
End date: July 15, 2024
a = 6.9468
b = -0.0005
s = 0.0219
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0005) – 1
= -16.34%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0219) – 1
= 9.15%
February 22, 2024 calculations
Top border of price channel:
Exp(Y1,151)
= Exp(a + b × X1,151 + 2 × s)
= Exp(a + b × 1,672 + 2 × s)
= Exp(6.9468 + -0.0005 × 1,672 + 2 × 0.0219)
= Exp(6.1734)
= $479.82
Bottom border of price channel:
Exp(Y1,151)
= Exp(a + b × X1,151 – 2 × s)
= Exp(a + b × 1,672 – 2 × s)
= Exp(6.9468 + -0.0005 × 1,672 – 2 × 0.0219)
= Exp(6.0859)
= $439.62
July 15, 2024 calculations
Top border of price channel:
Exp(Y1,249)
= Exp(a + b × X1,249 + 2 × s)
= Exp(a + b × 1,816 + 2 × s)
= Exp(6.9468 + -0.0005 × 1,816 + 2 × 0.0219)
= Exp(6.1030)
= $447.22
Bottom border of price channel:
Exp(Y1,249)
= Exp(a + b × X1,249 – 2 × s)
= Exp(a + b × 1,816 – 2 × s)
= Exp(6.9468 + -0.0005 × 1,816 – 2 × 0.0219)
= Exp(6.0155)
= $409.74
Description
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 16.34% per annum.
- LIN price at the close of July 25, 2024 was inside the secondary price channel.