Stock Price Trends

DXC Technology Co (DXC)

DXC Technology is an American multinational corporation that provides business-to-business information technology services.

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 19.86% per annum.
  • DXC price at the close of March 31, 2025 was $17.05 and was inside the primary price channel.
  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 3.29% per annum.
  • DXC price at the close of March 31, 2025 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 DXC 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 5, 2021
End date: August 27, 2024

a = 3.8955

b = -0.0006

s = 0.0807

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0006) – 1
= -19.86%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0807) – 1
= 38.11%

May 5, 2021 calculations

Top border of price channel:

Exp(Y275)
= Exp(a + b × X275 + 2 × s)
= Exp(a + b × 399 + 2 × s)
= Exp(3.8955 + -0.0006 × 399 + 2 × 0.0807)
= Exp(3.8149)
= $45.37

Bottom border of price channel:

Exp(Y275)
= Exp(a + b × X275 – 2 × s)
= Exp(a + b × 399 – 2 × s)
= Exp(3.8955 + -0.0006 × 399 – 2 × 0.0807)
= Exp(3.4920)
= $32.85

August 27, 2024 calculations

Top border of price channel:

Exp(Y1,108)
= Exp(a + b × X1,108 + 2 × s)
= Exp(a + b × 1,609 + 2 × s)
= Exp(3.8955 + -0.0006 × 1,609 + 2 × 0.0807)
= Exp(3.0808)
= $21.78

Bottom border of price channel:

Exp(Y1,108)
= Exp(a + b × X1,108 – 2 × s)
= Exp(a + b × 1,609 – 2 × s)
= Exp(3.8955 + -0.0006 × 1,609 – 2 × 0.0807)
= Exp(2.7580)
= $15.77

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 19.86% per annum.
  • DXC price at the close of March 31, 2025 was $17.05 and was inside the primary price channel.

Secondary Trend

Start date: August 3, 2023
End date: February 24, 2025

a = 3.1655

b = -0.0001

s = 0.0816

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0001) – 1
= -3.29%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0816) – 1
= 38.61%

August 3, 2023 calculations

Top border of price channel:

Exp(Y840)
= Exp(a + b × X840 + 2 × s)
= Exp(a + b × 1,219 + 2 × s)
= Exp(3.1655 + -0.0001 × 1,219 + 2 × 0.0816)
= Exp(3.2169)
= $24.95

Bottom border of price channel:

Exp(Y840)
= Exp(a + b × X840 – 2 × s)
= Exp(a + b × 1,219 – 2 × s)
= Exp(3.1655 + -0.0001 × 1,219 – 2 × 0.0816)
= Exp(2.8905)
= $18.00

February 24, 2025 calculations

Top border of price channel:

Exp(Y1,230)
= Exp(a + b × X1,230 + 2 × s)
= Exp(a + b × 1,790 + 2 × s)
= Exp(3.1655 + -0.0001 × 1,790 + 2 × 0.0816)
= Exp(3.1646)
= $23.68

Bottom border of price channel:

Exp(Y1,230)
= Exp(a + b × X1,230 – 2 × s)
= Exp(a + b × 1,790 – 2 × s)
= Exp(3.1655 + -0.0001 × 1,790 – 2 × 0.0816)
= Exp(2.8381)
= $17.08

Description

  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 3.29% per annum.
  • DXC price at the close of March 31, 2025 was inside the secondary price channel.