Stock Price Trends

Core & Main Inc (CNM)

None

Stock Price Trends

Stock price trends estimated using linear regression.

Key facts

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 40.56% per annum.
  • CNM price at the close of November 19, 2024 was $44.92 and was inside the primary price channel.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 63.13% per annum.
  • CNM 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 CNM 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: March 19, 2024
End date: November 19, 2024

a = 5.4715

b = -0.0014

s = 0.0658

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0014) – 1
= -40.56%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0658) – 1
= 30.12%

March 19, 2024 calculations

Top border of price channel:

Exp(Y668)
= Exp(a + b × X668 + 2 × s)
= Exp(a + b × 971 + 2 × s)
= Exp(5.4715 + -0.0014 × 971 + 2 × 0.0658)
= Exp(4.2194)
= $67.99

Bottom border of price channel:

Exp(Y668)
= Exp(a + b × X668 – 2 × s)
= Exp(a + b × 971 – 2 × s)
= Exp(5.4715 + -0.0014 × 971 – 2 × 0.0658)
= Exp(3.9561)
= $52.25

November 19, 2024 calculations

Top border of price channel:

Exp(Y838)
= Exp(a + b × X838 + 2 × s)
= Exp(a + b × 1,216 + 2 × s)
= Exp(5.4715 + -0.0014 × 1,216 + 2 × 0.0658)
= Exp(3.8702)
= $47.95

Bottom border of price channel:

Exp(Y838)
= Exp(a + b × X838 – 2 × s)
= Exp(a + b × 1,216 – 2 × s)
= Exp(5.4715 + -0.0014 × 1,216 – 2 × 0.0658)
= Exp(3.6069)
= $36.85

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 40.56% per annum.
  • CNM price at the close of November 19, 2024 was $44.92 and was inside the primary price channel.

Secondary Trend

Start date: September 4, 2024
End date: November 19, 2024

a = 2.1914

b = 0.0013

s = 0.0460

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0013) – 1
= 63.13%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0460) – 1
= 20.20%

September 4, 2024 calculations

Top border of price channel:

Exp(Y784)
= Exp(a + b × X784 + 2 × s)
= Exp(a + b × 1,140 + 2 × s)
= Exp(2.1914 + 0.0013 × 1,140 + 2 × 0.0460)
= Exp(3.8118)
= $45.23

Bottom border of price channel:

Exp(Y784)
= Exp(a + b × X784 – 2 × s)
= Exp(a + b × 1,140 – 2 × s)
= Exp(2.1914 + 0.0013 × 1,140 – 2 × 0.0460)
= Exp(3.6279)
= $37.63

November 19, 2024 calculations

Top border of price channel:

Exp(Y838)
= Exp(a + b × X838 + 2 × s)
= Exp(a + b × 1,216 + 2 × s)
= Exp(2.1914 + 0.0013 × 1,216 + 2 × 0.0460)
= Exp(3.9137)
= $50.08

Bottom border of price channel:

Exp(Y838)
= Exp(a + b × X838 – 2 × s)
= Exp(a + b × 1,216 – 2 × s)
= Exp(2.1914 + 0.0013 × 1,216 – 2 × 0.0460)
= Exp(3.7298)
= $41.67

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 63.13% per annum.
  • CNM price at the close of November 19, 2024 was inside the secondary price channel.