Stock Price Trends

Baker Hughes Co (BKR)

Baker Hughes Company is an American international industrial service company and one of the world's largest oil field services companies. The company provides the oil and gas industry with products and services for oil drilling, formation evaluation, completion, production and reservoir consulting. Baker Hughes is headquartered in Houston.

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 10.47% per annum.
  • BKR price at the close of November 20, 2024 was $44.31 and was higher than the top border of the primary price channel by $0.81 (1.87%).
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 42.36% per annum.
  • BKR price at the close of November 20, 2024 was higher than the top border of the secondary price channel by $1.68 (3.93%).

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 BKR 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: January 6, 2022
End date: October 30, 2024

a = 3.0521

b = 0.0003

s = 0.1113

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0003) – 1
= 10.47%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.1113) – 1
= 56.08%

January 6, 2022 calculations

Top border of price channel:

Exp(Y535)
= Exp(a + b × X535 + 2 × s)
= Exp(a + b × 777 + 2 × s)
= Exp(3.0521 + 0.0003 × 777 + 2 × 0.1113)
= Exp(3.4866)
= $32.68

Bottom border of price channel:

Exp(Y535)
= Exp(a + b × X535 – 2 × s)
= Exp(a + b × 777 – 2 × s)
= Exp(3.0521 + 0.0003 × 777 – 2 × 0.1113)
= Exp(3.0415)
= $20.94

October 30, 2024 calculations

Top border of price channel:

Exp(Y1,242)
= Exp(a + b × X1,242 + 2 × s)
= Exp(a + b × 1,805 + 2 × s)
= Exp(3.0521 + 0.0003 × 1,805 + 2 × 0.1113)
= Exp(3.7670)
= $43.25

Bottom border of price channel:

Exp(Y1,242)
= Exp(a + b × X1,242 – 2 × s)
= Exp(a + b × 1,805 – 2 × s)
= Exp(3.0521 + 0.0003 × 1,805 – 2 × 0.1113)
= Exp(3.3218)
= $27.71

Description

  • The primary trend is increasing.
  • The growth rate of the primary trend is 10.47% per annum.
  • BKR price at the close of November 20, 2024 was $44.31 and was higher than the top border of the primary price channel by $0.81 (1.87%).

Secondary Trend

Start date: January 16, 2024
End date: November 20, 2024

a = 1.8931

b = 0.0010

s = 0.0464

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0010) – 1
= 42.36%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0464) – 1
= 20.40%

January 16, 2024 calculations

Top border of price channel:

Exp(Y1,042)
= Exp(a + b × X1,042 + 2 × s)
= Exp(a + b × 1,517 + 2 × s)
= Exp(1.8931 + 0.0010 × 1,517 + 2 × 0.0464)
= Exp(3.4537)
= $31.62

Bottom border of price channel:

Exp(Y1,042)
= Exp(a + b × X1,042 – 2 × s)
= Exp(a + b × 1,517 – 2 × s)
= Exp(1.8931 + 0.0010 × 1,517 – 2 × 0.0464)
= Exp(3.2680)
= $26.26

November 20, 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(1.8931 + 0.0010 × 1,826 + 2 × 0.0464)
= Exp(3.7526)
= $42.63

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(1.8931 + 0.0010 × 1,826 – 2 × 0.0464)
= Exp(3.5670)
= $35.41

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 42.36% per annum.
  • BKR price at the close of November 20, 2024 was higher than the top border of the secondary price channel by $1.68 (3.93%).