Stock Price Trends

Arcus Biosciences Inc (RCUS)

Arcus Biosciences, Inc., a clinical-stage biopharmaceutical company, develops and markets cancer therapies in the United States. The company is headquartered in Hayward, California.

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 23.22% per annum.
  • RCUS price at the close of May 8, 2024 was $15.26 and was inside the primary price channel.
  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 73.85% per annum.
  • RCUS price at the close of May 8, 2024 was inside the secondary price channel.

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 RCUS 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 8, 2021
End date: May 8, 2024

a = 4.0782

b = -0.0007

s = 0.1654

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0007) – 1
= -23.22%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.1654) – 1
= 93.82%

January 8, 2021 calculations

Top border of price channel:

Exp(Y421)
= Exp(a + b × X421 + 2 × s)
= Exp(a + b × 610 + 2 × s)
= Exp(4.0782 + -0.0007 × 610 + 2 × 0.1654)
= Exp(3.9674)
= $52.85

Bottom border of price channel:

Exp(Y421)
= Exp(a + b × X421 – 2 × s)
= Exp(a + b × 610 – 2 × s)
= Exp(4.0782 + -0.0007 × 610 – 2 × 0.1654)
= Exp(3.3057)
= $27.27

May 8, 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(4.0782 + -0.0007 × 1,826 + 2 × 0.1654)
= Exp(3.0870)
= $21.91

Bottom border of price channel:

Exp(Y1,258)
= Exp(a + b × X1,258 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(4.0782 + -0.0007 × 1,826 – 2 × 0.1654)
= Exp(2.4252)
= $11.30

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 23.22% per annum.
  • RCUS price at the close of May 8, 2024 was $15.26 and was inside the primary price channel.

Secondary Trend

Start date: February 22, 2024
End date: May 8, 2024

a = 9.4127

b = -0.0037

s = 0.0420

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0037) – 1
= -73.85%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0420) – 1
= 18.29%

February 22, 2024 calculations

Top border of price channel:

Exp(Y1,205)
= Exp(a + b × X1,205 + 2 × s)
= Exp(a + b × 1,750 + 2 × s)
= Exp(9.4127 + -0.0037 × 1,750 + 2 × 0.0420)
= Exp(3.0660)
= $21.45

Bottom border of price channel:

Exp(Y1,205)
= Exp(a + b × X1,205 – 2 × s)
= Exp(a + b × 1,750 – 2 × s)
= Exp(9.4127 + -0.0037 × 1,750 – 2 × 0.0420)
= Exp(2.8980)
= $18.14

May 8, 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(9.4127 + -0.0037 × 1,826 + 2 × 0.0420)
= Exp(2.7867)
= $16.23

Bottom border of price channel:

Exp(Y1,258)
= Exp(a + b × X1,258 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(9.4127 + -0.0037 × 1,826 – 2 × 0.0420)
= Exp(2.6187)
= $13.72

Description

  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 73.85% per annum.
  • RCUS price at the close of May 8, 2024 was inside the secondary price channel.