Service Corporation International (SCI)
Service Corporation International offers death care products and services in the United States and Canada. The company is headquartered in Houston, Texas.
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 0.77% per annum.
- SCI price at the close of July 25, 2024 was $75.01 and was higher than the top border of the primary price channel by $1.52 (2.07%).
- The secondary trend is increasing.
- The growth rate of the secondary trend is 73.39% per annum.
- SCI price at the close of July 25, 2024 was lower than the bottom border of the secondary price channel by $5.57 (6.92%). This indicates a possible reversal in the secondary trend direction.
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 SCI 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: July 29, 2021
End date: February 12, 2024
a = 4.1245
b = 0.0000
s = 0.0671
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0000) – 1
= 0.77%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0671) – 1
= 30.76%
July 29, 2021 calculations
Top border of price channel:
Exp(Y506)
= Exp(a + b × X506 + 2 × s)
= Exp(a + b × 734 + 2 × s)
= Exp(4.1245 + 0.0000 × 734 + 2 × 0.0671)
= Exp(4.2741)
= $71.81
Bottom border of price channel:
Exp(Y506)
= Exp(a + b × X506 – 2 × s)
= Exp(a + b × 734 – 2 × s)
= Exp(4.1245 + 0.0000 × 734 – 2 × 0.0671)
= Exp(4.0058)
= $54.92
February 12, 2024 calculations
Top border of price channel:
Exp(Y1,144)
= Exp(a + b × X1,144 + 2 × s)
= Exp(a + b × 1,662 + 2 × s)
= Exp(4.1245 + 0.0000 × 1,662 + 2 × 0.0671)
= Exp(4.2937)
= $73.23
Bottom border of price channel:
Exp(Y1,144)
= Exp(a + b × X1,144 – 2 × s)
= Exp(a + b × 1,662 – 2 × s)
= Exp(4.1245 + 0.0000 × 1,662 – 2 × 0.0671)
= Exp(4.0254)
= $56.00
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 0.77% per annum.
- SCI price at the close of July 25, 2024 was $75.01 and was higher than the top border of the primary price channel by $1.52 (2.07%).
Secondary Trend
Start date: September 6, 2023
End date: April 9, 2024
a = 1.7314
b = 0.0015
s = 0.0477
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0015) – 1
= 73.39%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0477) – 1
= 21.02%
September 6, 2023 calculations
Top border of price channel:
Exp(Y1,035)
= Exp(a + b × X1,035 + 2 × s)
= Exp(a + b × 1,503 + 2 × s)
= Exp(1.7314 + 0.0015 × 1,503 + 2 × 0.0477)
= Exp(4.0930)
= $59.92
Bottom border of price channel:
Exp(Y1,035)
= Exp(a + b × X1,035 – 2 × s)
= Exp(a + b × 1,503 – 2 × s)
= Exp(1.7314 + 0.0015 × 1,503 – 2 × 0.0477)
= Exp(3.9023)
= $49.52
April 9, 2024 calculations
Top border of price channel:
Exp(Y1,183)
= Exp(a + b × X1,183 + 2 × s)
= Exp(a + b × 1,719 + 2 × s)
= Exp(1.7314 + 0.0015 × 1,719 + 2 × 0.0477)
= Exp(4.4187)
= $82.99
Bottom border of price channel:
Exp(Y1,183)
= Exp(a + b × X1,183 – 2 × s)
= Exp(a + b × 1,719 – 2 × s)
= Exp(1.7314 + 0.0015 × 1,719 – 2 × 0.0477)
= Exp(4.2280)
= $68.58
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 73.39% per annum.
- SCI price at the close of July 25, 2024 was lower than the bottom border of the secondary price channel by $5.57 (6.92%). This indicates a possible reversal in the secondary trend direction.