Stock Price Trends

Sally Beauty Holdings Inc (SBH)

Sally Beauty Holdings, Inc. is a specialty retailer and distributor of professional beauty products. The company is headquartered in Denton, Texas.

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 68.92% per annum.
  • SBH price at the close of April 28, 2025 was $8.07 and was inside the primary price channel.
  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 56.84% per annum.
  • SBH price at the close of April 28, 2025 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 SBH 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 28, 2024
End date: April 28, 2025

a = 7.9022

b = -0.0032

s = 0.0479

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0032) – 1
= -68.92%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0479) – 1
= 21.14%

October 28, 2024 calculations

Top border of price channel:

Exp(Y1,132)
= Exp(a + b × X1,132 + 2 × s)
= Exp(a + b × 1,643 + 2 × s)
= Exp(7.9022 + -0.0032 × 1,643 + 2 × 0.0479)
= Exp(2.7372)
= $15.44

Bottom border of price channel:

Exp(Y1,132)
= Exp(a + b × X1,132 – 2 × s)
= Exp(a + b × 1,643 – 2 × s)
= Exp(7.9022 + -0.0032 × 1,643 – 2 × 0.0479)
= Exp(2.5454)
= $12.75

April 28, 2025 calculations

Top border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 + 2 × s)
= Exp(a + b × 1,825 + 2 × s)
= Exp(7.9022 + -0.0032 × 1,825 + 2 × 0.0479)
= Exp(2.1545)
= $8.62

Bottom border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 – 2 × s)
= Exp(a + b × 1,825 – 2 × s)
= Exp(7.9022 + -0.0032 × 1,825 – 2 × 0.0479)
= Exp(1.9627)
= $7.12

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 68.92% per annum.
  • SBH price at the close of April 28, 2025 was $8.07 and was inside the primary price channel.

Secondary Trend

Start date: February 7, 2025
End date: April 28, 2025

a = 6.2845

b = -0.0023

s = 0.0292

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0023) – 1
= -56.84%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0292) – 1
= 12.39%

February 7, 2025 calculations

Top border of price channel:

Exp(Y1,201)
= Exp(a + b × X1,201 + 2 × s)
= Exp(a + b × 1,745 + 2 × s)
= Exp(6.2845 + -0.0023 × 1,745 + 2 × 0.0292)
= Exp(2.3259)
= $10.24

Bottom border of price channel:

Exp(Y1,201)
= Exp(a + b × X1,201 – 2 × s)
= Exp(a + b × 1,745 – 2 × s)
= Exp(6.2845 + -0.0023 × 1,745 – 2 × 0.0292)
= Exp(2.2091)
= $9.11

April 28, 2025 calculations

Top border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 + 2 × s)
= Exp(a + b × 1,825 + 2 × s)
= Exp(6.2845 + -0.0023 × 1,825 + 2 × 0.0292)
= Exp(2.1417)
= $8.51

Bottom border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 – 2 × s)
= Exp(a + b × 1,825 – 2 × s)
= Exp(6.2845 + -0.0023 × 1,825 – 2 × 0.0292)
= Exp(2.0249)
= $7.58

Description

  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 56.84% per annum.
  • SBH price at the close of April 28, 2025 was inside the secondary price channel.