Premier Inc (PINC)
Premier, Inc., is a health improvement company in the United States. The company is headquartered in Charlotte, North Carolina.
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 23.67% per annum.
- PINC price at the close of May 14, 2024 was $19.74 and was inside the primary price channel.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 6.38% per annum.
- PINC price at the close of May 14, 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 PINC 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: October 11, 2021
End date: May 14, 2024
a = 4.3539
b = -0.0007
s = 0.0819
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0007) – 1
= -23.67%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0819) – 1
= 38.78%
October 11, 2021 calculations
Top border of price channel:
Exp(Y607)
= Exp(a + b × X607 + 2 × s)
= Exp(a + b × 880 + 2 × s)
= Exp(4.3539 + -0.0007 × 880 + 2 × 0.0819)
= Exp(3.8667)
= $47.78
Bottom border of price channel:
Exp(Y607)
= Exp(a + b × X607 – 2 × s)
= Exp(a + b × 880 – 2 × s)
= Exp(4.3539 + -0.0007 × 880 – 2 × 0.0819)
= Exp(3.5390)
= $34.43
May 14, 2024 calculations
Top border of price channel:
Exp(Y1,258)
= Exp(a + b × X1,258 + 2 × s)
= Exp(a + b × 1,826 + 2 × s)
= Exp(4.3539 + -0.0007 × 1,826 + 2 × 0.0819)
= Exp(3.1668)
= $23.73
Bottom border of price channel:
Exp(Y1,258)
= Exp(a + b × X1,258 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(4.3539 + -0.0007 × 1,826 – 2 × 0.0819)
= Exp(2.8391)
= $17.10
Description
- The primary trend is decreasing.
- The decline rate of the primary trend is 23.67% per annum.
- PINC price at the close of May 14, 2024 was $19.74 and was inside the primary price channel.
Secondary Trend
Start date: September 13, 2023
End date: May 14, 2024
a = 2.7508
b = 0.0002
s = 0.0438
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0002) – 1
= 6.38%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0438) – 1
= 19.15%
September 13, 2023 calculations
Top border of price channel:
Exp(Y1,090)
= Exp(a + b × X1,090 + 2 × s)
= Exp(a + b × 1,582 + 2 × s)
= Exp(2.7508 + 0.0002 × 1,582 + 2 × 0.0438)
= Exp(3.1064)
= $22.34
Bottom border of price channel:
Exp(Y1,090)
= Exp(a + b × X1,090 – 2 × s)
= Exp(a + b × 1,582 – 2 × s)
= Exp(2.7508 + 0.0002 × 1,582 – 2 × 0.0438)
= Exp(2.9312)
= $18.75
May 14, 2024 calculations
Top border of price channel:
Exp(Y1,258)
= Exp(a + b × X1,258 + 2 × s)
= Exp(a + b × 1,826 + 2 × s)
= Exp(2.7508 + 0.0002 × 1,826 + 2 × 0.0438)
= Exp(3.1477)
= $23.28
Bottom border of price channel:
Exp(Y1,258)
= Exp(a + b × X1,258 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(2.7508 + 0.0002 × 1,826 – 2 × 0.0438)
= Exp(2.9725)
= $19.54
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 6.38% per annum.
- PINC price at the close of May 14, 2024 was inside the secondary price channel.