Stock Price Trends

Edison International (EIX)

Edison International is a public utility holding company based in Rosemead, California. Its subsidiaries include Southern California Edison, and unregulated non-utility business assets Edison Energy.

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 63.44% per annum.
  • EIX price at the close of March 31, 2025 was $58.92 and was inside the primary price channel.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 239.22% per annum.
  • EIX price at the close of March 31, 2025 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 EIX 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: August 29, 2024
End date: March 31, 2025

a = 9.0008

b = -0.0028

s = 0.0992

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0028) – 1
= -63.44%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0992) – 1
= 48.70%

August 29, 2024 calculations

Top border of price channel:

Exp(Y1,110)
= Exp(a + b × X1,110 + 2 × s)
= Exp(a + b × 1,611 + 2 × s)
= Exp(9.0008 + -0.0028 × 1,611 + 2 × 0.0992)
= Exp(4.7575)
= $116.45

Bottom border of price channel:

Exp(Y1,110)
= Exp(a + b × X1,110 – 2 × s)
= Exp(a + b × 1,611 – 2 × s)
= Exp(9.0008 + -0.0028 × 1,611 – 2 × 0.0992)
= Exp(4.3607)
= $78.31

March 31, 2025 calculations

Top border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 + 2 × s)
= Exp(a + b × 1,825 + 2 × s)
= Exp(9.0008 + -0.0028 × 1,825 + 2 × 0.0992)
= Exp(4.1675)
= $64.55

Bottom border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 – 2 × s)
= Exp(a + b × 1,825 – 2 × s)
= Exp(9.0008 + -0.0028 × 1,825 – 2 × 0.0992)
= Exp(3.7707)
= $43.41

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 63.44% per annum.
  • EIX price at the close of March 31, 2025 was $58.92 and was inside the primary price channel.

Secondary Trend

Start date: February 6, 2025
End date: March 31, 2025

a = -2.0178

b = 0.0033

s = 0.0188

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0033) – 1
= 239.22%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0188) – 1
= 7.81%

February 6, 2025 calculations

Top border of price channel:

Exp(Y1,219)
= Exp(a + b × X1,219 + 2 × s)
= Exp(a + b × 1,772 + 2 × s)
= Exp(-2.0178 + 0.0033 × 1,772 + 2 × 0.0188)
= Exp(3.9499)
= $51.93

Bottom border of price channel:

Exp(Y1,219)
= Exp(a + b × X1,219 – 2 × s)
= Exp(a + b × 1,772 – 2 × s)
= Exp(-2.0178 + 0.0033 × 1,772 – 2 × 0.0188)
= Exp(3.8747)
= $48.17

March 31, 2025 calculations

Top border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 + 2 × s)
= Exp(a + b × 1,825 + 2 × s)
= Exp(-2.0178 + 0.0033 × 1,825 + 2 × 0.0188)
= Exp(4.1272)
= $62.01

Bottom border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 – 2 × s)
= Exp(a + b × 1,825 – 2 × s)
= Exp(-2.0178 + 0.0033 × 1,825 – 2 × 0.0188)
= Exp(4.0520)
= $57.51

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 239.22% per annum.
  • EIX price at the close of March 31, 2025 was inside the secondary price channel.