Visa Inc. Class A (V)
Visa Inc. is an American multinational financial services corporation headquartered in Foster City, California, United States. It facilitates electronic funds transfers throughout the world, most commonly through Visa-branded credit cards, debit cards and prepaid cards. Visa is one of the world's most valuable companies.
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 25.74% per annum.
- V price at the close of May 3, 2024 was $268.49 and was inside the primary price channel.
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 36.76% per annum.
- V price at the close of May 3, 2024 was inside the secondary price channel.
- 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 V 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: August 26, 2022
End date: April 30, 2024
a = 4.4983
b = 0.0006
s = 0.0374
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0006) – 1
= 25.74%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0374) – 1
= 16.14%
August 26, 2022 calculations
Top border of price channel:
Exp(Y835)
= Exp(a + b × X835 + 2 × s)
= Exp(a + b × 1,208 + 2 × s)
= Exp(4.4983 + 0.0006 × 1,208 + 2 × 0.0374)
= Exp(5.3312)
= $206.68
Bottom border of price channel:
Exp(Y835)
= Exp(a + b × X835 – 2 × s)
= Exp(a + b × 1,208 – 2 × s)
= Exp(4.4983 + 0.0006 × 1,208 – 2 × 0.0374)
= Exp(5.1815)
= $177.95
April 30, 2024 calculations
Top border of price channel:
Exp(Y1,255)
= Exp(a + b × X1,255 + 2 × s)
= Exp(a + b × 1,821 + 2 × s)
= Exp(4.4983 + 0.0006 × 1,821 + 2 × 0.0374)
= Exp(5.7158)
= $303.64
Bottom border of price channel:
Exp(Y1,255)
= Exp(a + b × X1,255 – 2 × s)
= Exp(a + b × 1,821 – 2 × s)
= Exp(4.4983 + 0.0006 × 1,821 – 2 × 0.0374)
= Exp(5.5662)
= $261.44
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 25.74% per annum.
- V price at the close of May 3, 2024 was $268.49 and was inside the primary price channel.
Secondary Trend
Start date: March 12, 2024
End date: May 3, 2024
a = 7.8816
b = -0.0013
s = 0.0092
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0013) – 1
= -36.76%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0092) – 1
= 3.75%
March 12, 2024 calculations
Top border of price channel:
Exp(Y1,221)
= Exp(a + b × X1,221 + 2 × s)
= Exp(a + b × 1,772 + 2 × s)
= Exp(7.8816 + -0.0013 × 1,772 + 2 × 0.0092)
= Exp(5.6758)
= $291.73
Bottom border of price channel:
Exp(Y1,221)
= Exp(a + b × X1,221 – 2 × s)
= Exp(a + b × 1,772 – 2 × s)
= Exp(7.8816 + -0.0013 × 1,772 – 2 × 0.0092)
= Exp(5.6390)
= $281.17
May 3, 2024 calculations
Top border of price channel:
Exp(Y1,258)
= Exp(a + b × X1,258 + 2 × s)
= Exp(a + b × 1,824 + 2 × s)
= Exp(7.8816 + -0.0013 × 1,824 + 2 × 0.0092)
= Exp(5.6105)
= $273.29
Bottom border of price channel:
Exp(Y1,258)
= Exp(a + b × X1,258 – 2 × s)
= Exp(a + b × 1,824 – 2 × s)
= Exp(7.8816 + -0.0013 × 1,824 – 2 × 0.0092)
= Exp(5.5737)
= $263.40
Description
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 36.76% per annum.
- V price at the close of May 3, 2024 was inside the secondary price channel.