Stock Price Trends

The Clorox Company (CLX)

The Clorox Company, based in Oakland, California, is an American global manufacturer and marketer of consumer and professional products.

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 81.59% per annum.
  • CLX price at the close of December 2, 2024 was $166.54 and was inside the primary price channel.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 11.73% per annum.
  • CLX price at the close of December 2, 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 CLX 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: May 20, 2024
End date: December 2, 2024

a = 2.1717

b = 0.0016

s = 0.0388

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0016) – 1
= 81.59%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0388) – 1
= 16.80%

May 20, 2024 calculations

Top border of price channel:

Exp(Y1,122)
= Exp(a + b × X1,122 + 2 × s)
= Exp(a + b × 1,630 + 2 × s)
= Exp(2.1717 + 0.0016 × 1,630 + 2 × 0.0388)
= Exp(4.9135)
= $136.12

Bottom border of price channel:

Exp(Y1,122)
= Exp(a + b × X1,122 – 2 × s)
= Exp(a + b × 1,630 – 2 × s)
= Exp(2.1717 + 0.0016 × 1,630 – 2 × 0.0388)
= Exp(4.7582)
= $116.54

December 2, 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(2.1717 + 0.0016 × 1,826 + 2 × 0.0388)
= Exp(5.2339)
= $187.52

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(2.1717 + 0.0016 × 1,826 – 2 × 0.0388)
= Exp(5.0786)
= $160.54

Description

  • The primary trend is increasing.
  • The growth rate of the primary trend is 81.59% per annum.
  • CLX price at the close of December 2, 2024 was $166.54 and was inside the primary price channel.

Secondary Trend

Start date: August 30, 2024
End date: December 2, 2024

a = 4.5506

b = 0.0003

s = 0.0194

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0003) – 1
= 11.73%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0194) – 1
= 8.07%

August 30, 2024 calculations

Top border of price channel:

Exp(Y1,193)
= Exp(a + b × X1,193 + 2 × s)
= Exp(a + b × 1,732 + 2 × s)
= Exp(4.5506 + 0.0003 × 1,732 + 2 × 0.0194)
= Exp(5.1155)
= $166.59

Bottom border of price channel:

Exp(Y1,193)
= Exp(a + b × X1,193 – 2 × s)
= Exp(a + b × 1,732 – 2 × s)
= Exp(4.5506 + 0.0003 × 1,732 – 2 × 0.0194)
= Exp(5.0379)
= $154.15

December 2, 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(4.5506 + 0.0003 × 1,826 + 2 × 0.0194)
= Exp(5.1441)
= $171.41

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(4.5506 + 0.0003 × 1,826 – 2 × 0.0194)
= Exp(5.0665)
= $158.62

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 11.73% per annum.
  • CLX price at the close of December 2, 2024 was inside the secondary price channel.