Akamai Technologies Inc (AKAM)
Akamai Technologies, Inc. is a global content delivery network (CDN), cybersecurity, and cloud service company, providing web and Internet security 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 28.73% per annum.
- AKAM price at the close of November 19, 2024 was $87.36 and was lower than the bottom border of the primary price channel by $27.46 (23.91%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 13.69% per annum.
- AKAM price at the close of November 19, 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 AKAM 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 31, 2022
End date: April 9, 2024
a = 3.6511
b = 0.0007
s = 0.0857
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0007) – 1
= 28.73%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0857) – 1
= 40.87%
August 31, 2022 calculations
Top border of price channel:
Exp(Y699)
= Exp(a + b × X699 + 2 × s)
= Exp(a + b × 1,015 + 2 × s)
= Exp(3.6511 + 0.0007 × 1,015 + 2 × 0.0857)
= Exp(4.5248)
= $92.28
Bottom border of price channel:
Exp(Y699)
= Exp(a + b × X699 – 2 × s)
= Exp(a + b × 1,015 – 2 × s)
= Exp(3.6511 + 0.0007 × 1,015 – 2 × 0.0857)
= Exp(4.1821)
= $65.51
April 9, 2024 calculations
Top border of price channel:
Exp(Y1,101)
= Exp(a + b × X1,101 + 2 × s)
= Exp(a + b × 1,602 + 2 × s)
= Exp(3.6511 + 0.0007 × 1,602 + 2 × 0.0857)
= Exp(4.9310)
= $138.52
Bottom border of price channel:
Exp(Y1,101)
= Exp(a + b × X1,101 – 2 × s)
= Exp(a + b × 1,602 – 2 × s)
= Exp(3.6511 + 0.0007 × 1,602 – 2 × 0.0857)
= Exp(4.5883)
= $98.33
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 28.73% per annum.
- AKAM price at the close of November 19, 2024 was $87.36 and was lower than the bottom border of the primary price channel by $27.46 (23.91%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: August 29, 2023
End date: November 19, 2024
a = 5.2912
b = -0.0004
s = 0.0725
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0004) – 1
= -13.69%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0725) – 1
= 33.63%
August 29, 2023 calculations
Top border of price channel:
Exp(Y948)
= Exp(a + b × X948 + 2 × s)
= Exp(a + b × 1,378 + 2 × s)
= Exp(5.2912 + -0.0004 × 1,378 + 2 × 0.0725)
= Exp(4.8804)
= $131.68
Bottom border of price channel:
Exp(Y948)
= Exp(a + b × X948 – 2 × s)
= Exp(a + b × 1,378 – 2 × s)
= Exp(5.2912 + -0.0004 × 1,378 – 2 × 0.0725)
= Exp(4.5905)
= $98.54
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(5.2912 + -0.0004 × 1,826 + 2 × 0.0725)
= Exp(4.6997)
= $109.92
Bottom border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(5.2912 + -0.0004 × 1,826 – 2 × 0.0725)
= Exp(4.4098)
= $82.26
Description
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 13.69% per annum.
- AKAM price at the close of November 19, 2024 was inside the secondary price channel.