Strategic Education Inc (STRA)
Strategic Education, Inc., offers postsecondary education and non-degree programs. The company is headquartered in Herndon, Virginia.
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 28.16% per annum.
- STRA price at the close of April 28, 2025 was $80.40 and was lower than the bottom border of the primary price channel by $21.63 (21.20%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 49.01% per annum.
- STRA price at the close of April 28, 2025 was higher than the top border of the secondary price channel by $13.30 (19.82%). This indicates a possible reversal in the secondary trend direction.
- 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 STRA 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: September 3, 2024
a = 3.5906
b = 0.0007
s = 0.1029
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0007) – 1
= 28.16%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.1029) – 1
= 50.90%
October 11, 2021 calculations
Top border of price channel:
Exp(Y366)
= Exp(a + b × X366 + 2 × s)
= Exp(a + b × 530 + 2 × s)
= Exp(3.5906 + 0.0007 × 530 + 2 × 0.1029)
= Exp(4.1566)
= $63.85
Bottom border of price channel:
Exp(Y366)
= Exp(a + b × X366 – 2 × s)
= Exp(a + b × 530 – 2 × s)
= Exp(3.5906 + 0.0007 × 530 – 2 × 0.1029)
= Exp(3.7451)
= $42.31
September 3, 2024 calculations
Top border of price channel:
Exp(Y1,093)
= Exp(a + b × X1,093 + 2 × s)
= Exp(a + b × 1,588 + 2 × s)
= Exp(3.5906 + 0.0007 × 1,588 + 2 × 0.1029)
= Exp(4.8757)
= $131.06
Bottom border of price channel:
Exp(Y1,093)
= Exp(a + b × X1,093 – 2 × s)
= Exp(a + b × 1,588 – 2 × s)
= Exp(3.5906 + 0.0007 × 1,588 – 2 × 0.1029)
= Exp(4.4642)
= $86.85
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 28.16% per annum.
- STRA price at the close of April 28, 2025 was $80.40 and was lower than the bottom border of the primary price channel by $21.63 (21.20%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: April 25, 2024
End date: November 5, 2024
a = 7.4795
b = -0.0018
s = 0.0473
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0018) – 1
= -49.01%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0473) – 1
= 20.83%
April 25, 2024 calculations
Top border of price channel:
Exp(Y1,004)
= Exp(a + b × X1,004 + 2 × s)
= Exp(a + b × 1,457 + 2 × s)
= Exp(7.4795 + -0.0018 × 1,457 + 2 × 0.0473)
= Exp(4.8853)
= $132.33
Bottom border of price channel:
Exp(Y1,004)
= Exp(a + b × X1,004 – 2 × s)
= Exp(a + b × 1,457 – 2 × s)
= Exp(7.4795 + -0.0018 × 1,457 – 2 × 0.0473)
= Exp(4.6961)
= $109.52
November 5, 2024 calculations
Top border of price channel:
Exp(Y1,138)
= Exp(a + b × X1,138 + 2 × s)
= Exp(a + b × 1,651 + 2 × s)
= Exp(7.4795 + -0.0018 × 1,651 + 2 × 0.0473)
= Exp(4.5273)
= $92.51
Bottom border of price channel:
Exp(Y1,138)
= Exp(a + b × X1,138 – 2 × s)
= Exp(a + b × 1,651 – 2 × s)
= Exp(7.4795 + -0.0018 × 1,651 – 2 × 0.0473)
= Exp(4.3381)
= $76.56
Description
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 49.01% per annum.
- STRA price at the close of April 28, 2025 was higher than the top border of the secondary price channel by $13.30 (19.82%). This indicates a possible reversal in the secondary trend direction.