Stock Price Trends

Veralto Corporation (VLTO)

Veralto Corporation provides water supply services.

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 203.15% per annum.
  • VLTO price at the close of May 17, 2024 was $98.60 and was inside the primary price channel.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 130.22% per annum.
  • VLTO price at the close of May 17, 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 VLTO 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: April 2, 2024
End date: May 17, 2024

a = 3.9079

b = 0.0030

s = 0.0110

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0030) – 1
= 203.15%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0110) – 1
= 4.48%

April 2, 2024 calculations

Top border of price channel:

Exp(Y123)
= Exp(a + b × X123 + 2 × s)
= Exp(a + b × 181 + 2 × s)
= Exp(3.9079 + 0.0030 × 181 + 2 × 0.0110)
= Exp(4.4798)
= $88.22

Bottom border of price channel:

Exp(Y123)
= Exp(a + b × X123 – 2 × s)
= Exp(a + b × 181 – 2 × s)
= Exp(3.9079 + 0.0030 × 181 – 2 × 0.0110)
= Exp(4.4360)
= $84.43

May 17, 2024 calculations

Top border of price channel:

Exp(Y156)
= Exp(a + b × X156 + 2 × s)
= Exp(a + b × 226 + 2 × s)
= Exp(3.9079 + 0.0030 × 226 + 2 × 0.0110)
= Exp(4.6165)
= $101.14

Bottom border of price channel:

Exp(Y156)
= Exp(a + b × X156 – 2 × s)
= Exp(a + b × 226 – 2 × s)
= Exp(3.9079 + 0.0030 × 226 – 2 × 0.0110)
= Exp(4.5727)
= $96.81

Description

  • The primary trend is increasing.
  • The growth rate of the primary trend is 203.15% per annum.
  • VLTO price at the close of May 17, 2024 was $98.60 and was inside the primary price channel.

Secondary Trend

Start date: April 23, 2024
End date: May 17, 2024

a = 4.0721

b = 0.0023

s = 0.0087

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0023) – 1
= 130.22%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0087) – 1
= 3.55%

April 23, 2024 calculations

Top border of price channel:

Exp(Y138)
= Exp(a + b × X138 + 2 × s)
= Exp(a + b × 202 + 2 × s)
= Exp(4.0721 + 0.0023 × 202 + 2 × 0.0087)
= Exp(4.5510)
= $94.73

Bottom border of price channel:

Exp(Y138)
= Exp(a + b × X138 – 2 × s)
= Exp(a + b × 202 – 2 × s)
= Exp(4.0721 + 0.0023 × 202 – 2 × 0.0087)
= Exp(4.5162)
= $91.48

May 17, 2024 calculations

Top border of price channel:

Exp(Y156)
= Exp(a + b × X156 + 2 × s)
= Exp(a + b × 226 + 2 × s)
= Exp(4.0721 + 0.0023 × 226 + 2 × 0.0087)
= Exp(4.6059)
= $100.07

Bottom border of price channel:

Exp(Y156)
= Exp(a + b × X156 – 2 × s)
= Exp(a + b × 226 – 2 × s)
= Exp(4.0721 + 0.0023 × 226 – 2 × 0.0087)
= Exp(4.5710)
= $96.64

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 130.22% per annum.
  • VLTO price at the close of May 17, 2024 was inside the secondary price channel.