Stock Price Trends

Churchill Downs Incorporated (CHDN)

Churchill Downs Incorporated is a gaming, online betting and racing entertainment company in the United States. The company is headquartered in Louisville, Kentucky.

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 8.39% per annum.
  • CHDN price at the close of November 20, 2024 was $139.97 and was inside the primary price channel.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 22.43% per annum.
  • CHDN price at the close of November 20, 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 CHDN 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: November 19, 2020
End date: November 20, 2024

a = 4.5016

b = 0.0002

s = 0.0883

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0002) – 1
= 8.39%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0883) – 1
= 42.34%

November 19, 2020 calculations

Top border of price channel:

Exp(Y251)
= Exp(a + b × X251 + 2 × s)
= Exp(a + b × 364 + 2 × s)
= Exp(4.5016 + 0.0002 × 364 + 2 × 0.0883)
= Exp(4.7585)
= $116.57

Bottom border of price channel:

Exp(Y251)
= Exp(a + b × X251 – 2 × s)
= Exp(a + b × 364 – 2 × s)
= Exp(4.5016 + 0.0002 × 364 – 2 × 0.0883)
= Exp(4.4054)
= $81.90

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(4.5016 + 0.0002 × 1,826 + 2 × 0.0883)
= Exp(5.0813)
= $160.99

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(4.5016 + 0.0002 × 1,826 – 2 × 0.0883)
= Exp(4.7283)
= $113.10

Description

  • The primary trend is increasing.
  • The growth rate of the primary trend is 8.39% per annum.
  • CHDN price at the close of November 20, 2024 was $139.97 and was inside the primary price channel.

Secondary Trend

Start date: September 21, 2023
End date: November 20, 2024

a = 3.9584

b = 0.0006

s = 0.0437

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0006) – 1
= 22.43%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0437) – 1
= 19.12%

September 21, 2023 calculations

Top border of price channel:

Exp(Y963)
= Exp(a + b × X963 + 2 × s)
= Exp(a + b × 1,400 + 2 × s)
= Exp(3.9584 + 0.0006 × 1,400 + 2 × 0.0437)
= Exp(4.8220)
= $124.21

Bottom border of price channel:

Exp(Y963)
= Exp(a + b × X963 – 2 × s)
= Exp(a + b × 1,400 – 2 × s)
= Exp(3.9584 + 0.0006 × 1,400 – 2 × 0.0437)
= Exp(4.6470)
= $104.27

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(3.9584 + 0.0006 × 1,826 + 2 × 0.0437)
= Exp(5.0581)
= $157.30

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(3.9584 + 0.0006 × 1,826 – 2 × 0.0437)
= Exp(4.8832)
= $132.05

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 22.43% per annum.
  • CHDN price at the close of November 20, 2024 was inside the secondary price channel.