Stock Price Trends

Clearway Energy Inc Class C (CWEN)

Clearway Energy, Inc., participates in the renewable energy businesses in the United States.

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 15.16% per annum.
  • CWEN price at the close of November 20, 2024 was $27.92 and was higher than the top border of the primary price channel by $3.71 (15.34%). This indicates a possible reversal in the primary trend direction.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 33.53% per annum.
  • CWEN price at the close of November 20, 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 CWEN 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: October 25, 2021
End date: May 8, 2024

a = 3.8301

b = -0.0005

s = 0.0896

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0005) – 1
= -15.16%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0896) – 1
= 43.10%

October 25, 2021 calculations

Top border of price channel:

Exp(Y484)
= Exp(a + b × X484 + 2 × s)
= Exp(a + b × 704 + 2 × s)
= Exp(3.8301 + -0.0005 × 704 + 2 × 0.0896)
= Exp(3.6921)
= $40.13

Bottom border of price channel:

Exp(Y484)
= Exp(a + b × X484 – 2 × s)
= Exp(a + b × 704 – 2 × s)
= Exp(3.8301 + -0.0005 × 704 – 2 × 0.0896)
= Exp(3.3337)
= $28.04

May 8, 2024 calculations

Top border of price channel:

Exp(Y1,121)
= Exp(a + b × X1,121 + 2 × s)
= Exp(a + b × 1,630 + 2 × s)
= Exp(3.8301 + -0.0005 × 1,630 + 2 × 0.0896)
= Exp(3.2749)
= $26.44

Bottom border of price channel:

Exp(Y1,121)
= Exp(a + b × X1,121 – 2 × s)
= Exp(a + b × 1,630 – 2 × s)
= Exp(3.8301 + -0.0005 × 1,630 – 2 × 0.0896)
= Exp(2.9165)
= $18.48

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 15.16% per annum.
  • CWEN price at the close of November 20, 2024 was $27.92 and was higher than the top border of the primary price channel by $3.71 (15.34%). This indicates a possible reversal in the primary trend direction.

Secondary Trend

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

a = 1.9146

b = 0.0008

s = 0.0733

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0008) – 1
= 33.53%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0733) – 1
= 34.09%

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(1.9146 + 0.0008 × 1,400 + 2 × 0.0733)
= Exp(3.1703)
= $23.81

Bottom border of price channel:

Exp(Y963)
= Exp(a + b × X963 – 2 × s)
= Exp(a + b × 1,400 – 2 × s)
= Exp(1.9146 + 0.0008 × 1,400 – 2 × 0.0733)
= Exp(2.8770)
= $17.76

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(1.9146 + 0.0008 × 1,826 + 2 × 0.0733)
= Exp(3.5078)
= $33.37

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(1.9146 + 0.0008 × 1,826 – 2 × 0.0733)
= Exp(3.2144)
= $24.89

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 33.53% per annum.
  • CWEN price at the close of November 20, 2024 was inside the secondary price channel.