Two Harbors Investments Corp (TWO)
Two Harbors Investment Corp. The company is headquartered in Minnetonka, Minnesota.
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 11.80% per annum.
- TWO price at the close of July 26, 2024 was $13.75 and was inside the primary price channel.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 65.25% per annum.
- TWO price at the close of July 26, 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 TWO 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: March 15, 2023
End date: July 26, 2024
a = 1.9866
b = 0.0003
s = 0.0584
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0003) – 1
= 11.80%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0584) – 1
= 26.31%
March 15, 2023 calculations
Top border of price channel:
Exp(Y914)
= Exp(a + b × X914 + 2 × s)
= Exp(a + b × 1,325 + 2 × s)
= Exp(1.9866 + 0.0003 × 1,325 + 2 × 0.0584)
= Exp(2.5084)
= $12.28
Bottom border of price channel:
Exp(Y914)
= Exp(a + b × X914 – 2 × s)
= Exp(a + b × 1,325 – 2 × s)
= Exp(1.9866 + 0.0003 × 1,325 – 2 × 0.0584)
= Exp(2.2748)
= $9.73
July 26, 2024 calculations
Top border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 + 2 × s)
= Exp(a + b × 1,824 + 2 × s)
= Exp(1.9866 + 0.0003 × 1,824 + 2 × 0.0584)
= Exp(2.6609)
= $14.31
Bottom border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,824 – 2 × s)
= Exp(1.9866 + 0.0003 × 1,824 – 2 × 0.0584)
= Exp(2.4273)
= $11.33
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 11.80% per annum.
- TWO price at the close of July 26, 2024 was $13.75 and was inside the primary price channel.
Secondary Trend
Start date: April 10, 2024
End date: July 26, 2024
a = 0.0936
b = 0.0014
s = 0.0247
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0014) – 1
= 65.25%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0247) – 1
= 10.41%
April 10, 2024 calculations
Top border of price channel:
Exp(Y1,183)
= Exp(a + b × X1,183 + 2 × s)
= Exp(a + b × 1,717 + 2 × s)
= Exp(0.0936 + 0.0014 × 1,717 + 2 × 0.0247)
= Exp(2.5058)
= $12.25
Bottom border of price channel:
Exp(Y1,183)
= Exp(a + b × X1,183 – 2 × s)
= Exp(a + b × 1,717 – 2 × s)
= Exp(0.0936 + 0.0014 × 1,717 – 2 × 0.0247)
= Exp(2.4068)
= $11.10
July 26, 2024 calculations
Top border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 + 2 × s)
= Exp(a + b × 1,824 + 2 × s)
= Exp(0.0936 + 0.0014 × 1,824 + 2 × 0.0247)
= Exp(2.6531)
= $14.20
Bottom border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,824 – 2 × s)
= Exp(0.0936 + 0.0014 × 1,824 – 2 × 0.0247)
= Exp(2.5541)
= $12.86
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 65.25% per annum.
- TWO price at the close of July 26, 2024 was inside the secondary price channel.