Western Digital Corporation (WDC)
Western Digital Corporation (WDC, commonly known as Western Digital or WD) is an American computer hard disk drive manufacturer and data storage company, headquartered in San Jose, California. It designs, manufactures and sells data technology products, including storage devices, data center systems and cloud storage 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 102.29% per annum.
- WDC price at the close of July 26, 2024 was $68.26 and was lower than the bottom border of the primary price channel by $3.34 (4.66%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 31.33% per annum.
- WDC price at the close of July 26, 2024 was lower than the bottom border of the secondary price channel by $2.64 (3.73%). 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 WDC 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 14, 2023
End date: July 16, 2024
a = 0.8696
b = 0.0019
s = 0.0596
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0019) – 1
= 102.29%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0596) – 1
= 26.94%
April 14, 2023 calculations
Top border of price channel:
Exp(Y935)
= Exp(a + b × X935 + 2 × s)
= Exp(a + b × 1,355 + 2 × s)
= Exp(0.8696 + 0.0019 × 1,355 + 2 × 0.0596)
= Exp(3.6043)
= $36.76
Bottom border of price channel:
Exp(Y935)
= Exp(a + b × X935 – 2 × s)
= Exp(a + b × 1,355 – 2 × s)
= Exp(0.8696 + 0.0019 × 1,355 – 2 × 0.0596)
= Exp(3.3658)
= $28.96
July 16, 2024 calculations
Top border of price channel:
Exp(Y1,249)
= Exp(a + b × X1,249 + 2 × s)
= Exp(a + b × 1,814 + 2 × s)
= Exp(0.8696 + 0.0019 × 1,814 + 2 × 0.0596)
= Exp(4.4903)
= $89.15
Bottom border of price channel:
Exp(Y1,249)
= Exp(a + b × X1,249 – 2 × s)
= Exp(a + b × 1,814 – 2 × s)
= Exp(0.8696 + 0.0019 × 1,814 – 2 × 0.0596)
= Exp(4.2518)
= $70.23
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 102.29% per annum.
- WDC price at the close of July 26, 2024 was $68.26 and was lower than the bottom border of the primary price channel by $3.34 (4.66%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: March 26, 2024
End date: July 26, 2024
a = 2.9800
b = 0.0007
s = 0.0404
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0007) – 1
= 31.33%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0404) – 1
= 17.54%
March 26, 2024 calculations
Top border of price channel:
Exp(Y1,173)
= Exp(a + b × X1,173 + 2 × s)
= Exp(a + b × 1,702 + 2 × s)
= Exp(2.9800 + 0.0007 × 1,702 + 2 × 0.0404)
= Exp(4.3318)
= $76.08
Bottom border of price channel:
Exp(Y1,173)
= Exp(a + b × X1,173 – 2 × s)
= Exp(a + b × 1,702 – 2 × s)
= Exp(2.9800 + 0.0007 × 1,702 – 2 × 0.0404)
= Exp(4.1702)
= $64.73
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(2.9800 + 0.0007 × 1,824 + 2 × 0.0404)
= Exp(4.4229)
= $83.34
Bottom border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,824 – 2 × s)
= Exp(2.9800 + 0.0007 × 1,824 – 2 × 0.0404)
= Exp(4.2613)
= $70.90
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 31.33% per annum.
- WDC price at the close of July 26, 2024 was lower than the bottom border of the secondary price channel by $2.64 (3.73%). This indicates a possible reversal in the secondary trend direction.