Stock Price Trends

American Airlines Group (AAL)

American Airlines Group Inc. is an American publicly traded airline holding company headquartered in Fort Worth, Texas.

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 312.74% per annum.
  • AAL price at the close of November 19, 2024 was $14.33 and was inside the primary price channel.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 628.19% per annum.
  • AAL price at the close of November 19, 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 AAL 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 2, 2024
End date: November 19, 2024

a = -4.4372

b = 0.0039

s = 0.0309

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0039) – 1
= 312.74%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0309) – 1
= 13.16%

August 2, 2024 calculations

Top border of price channel:

Exp(Y1,181)
= Exp(a + b × X1,181 + 2 × s)
= Exp(a + b × 1,717 + 2 × s)
= Exp(-4.4372 + 0.0039 × 1,717 + 2 × 0.0309)
= Exp(2.2934)
= $9.91

Bottom border of price channel:

Exp(Y1,181)
= Exp(a + b × X1,181 – 2 × s)
= Exp(a + b × 1,717 – 2 × s)
= Exp(-4.4372 + 0.0039 × 1,717 – 2 × 0.0309)
= Exp(2.1698)
= $8.76

November 19, 2024 calculations

Top border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 + 2 × s)
= Exp(a + b × 1,826 + 2 × s)
= Exp(-4.4372 + 0.0039 × 1,826 + 2 × 0.0309)
= Exp(2.7167)
= $15.13

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(-4.4372 + 0.0039 × 1,826 – 2 × 0.0309)
= Exp(2.5931)
= $13.37

Description

  • The primary trend is increasing.
  • The growth rate of the primary trend is 312.74% per annum.
  • AAL price at the close of November 19, 2024 was $14.33 and was inside the primary price channel.

Secondary Trend

Start date: September 30, 2024
End date: November 19, 2024

a = -7.2409

b = 0.0054

s = 0.0296

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0054) – 1
= 628.19%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0296) – 1
= 12.59%

September 30, 2024 calculations

Top border of price channel:

Exp(Y1,221)
= Exp(a + b × X1,221 + 2 × s)
= Exp(a + b × 1,776 + 2 × s)
= Exp(-7.2409 + 0.0054 × 1,776 + 2 × 0.0296)
= Exp(2.4789)
= $11.93

Bottom border of price channel:

Exp(Y1,221)
= Exp(a + b × X1,221 – 2 × s)
= Exp(a + b × 1,776 – 2 × s)
= Exp(-7.2409 + 0.0054 × 1,776 – 2 × 0.0296)
= Exp(2.3603)
= $10.59

November 19, 2024 calculations

Top border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 + 2 × s)
= Exp(a + b × 1,826 + 2 × s)
= Exp(-7.2409 + 0.0054 × 1,826 + 2 × 0.0296)
= Exp(2.7508)
= $15.66

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(-7.2409 + 0.0054 × 1,826 – 2 × 0.0296)
= Exp(2.6323)
= $13.91

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 628.19% per annum.
  • AAL price at the close of November 19, 2024 was inside the secondary price channel.