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 increasing.
- The growth rate of the primary trend is 37.73% per annum.
- EIX price at the close of November 20, 2024 was $86.12 and was inside the primary price channel.
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 12.00% per annum.
- EIX price at the close of November 20, 2024 was higher than the top border of the secondary price channel by $0.22 (0.26%). This indicates a possible reversal in the secondary trend direction.
- 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: September 26, 2023
End date: November 20, 2024
a = 2.8510
b = 0.0009
s = 0.0399
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0009) – 1
= 37.73%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0399) – 1
= 17.32%
September 26, 2023 calculations
Top border of price channel:
Exp(Y966)
= Exp(a + b × X966 + 2 × s)
= Exp(a + b × 1,405 + 2 × s)
= Exp(2.8510 + 0.0009 × 1,405 + 2 × 0.0399)
= Exp(4.1632)
= $64.27
Bottom border of price channel:
Exp(Y966)
= Exp(a + b × X966 – 2 × s)
= Exp(a + b × 1,405 – 2 × s)
= Exp(2.8510 + 0.0009 × 1,405 – 2 × 0.0399)
= Exp(4.0034)
= $54.79
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(2.8510 + 0.0009 × 1,826 + 2 × 0.0399)
= Exp(4.5324)
= $92.98
Bottom border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(2.8510 + 0.0009 × 1,826 – 2 × 0.0399)
= Exp(4.3727)
= $79.26
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 37.73% per annum.
- EIX price at the close of November 20, 2024 was $86.12 and was inside the primary price channel.
Secondary Trend
Start date: August 26, 2024
End date: November 20, 2024
a = 5.0609
b = -0.0004
s = 0.0158
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0004) – 1
= -12.00%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0158) – 1
= 6.53%
August 26, 2024 calculations
Top border of price channel:
Exp(Y1,196)
= Exp(a + b × X1,196 + 2 × s)
= Exp(a + b × 1,740 + 2 × s)
= Exp(5.0609 + -0.0004 × 1,740 + 2 × 0.0158)
= Exp(4.4833)
= $88.52
Bottom border of price channel:
Exp(Y1,196)
= Exp(a + b × X1,196 – 2 × s)
= Exp(a + b × 1,740 – 2 × s)
= Exp(5.0609 + -0.0004 × 1,740 – 2 × 0.0158)
= Exp(4.4200)
= $83.10
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(5.0609 + -0.0004 × 1,826 + 2 × 0.0158)
= Exp(4.4532)
= $85.90
Bottom border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(5.0609 + -0.0004 × 1,826 – 2 × 0.0158)
= Exp(4.3899)
= $80.63
Description
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 12.00% per annum.
- EIX price at the close of November 20, 2024 was higher than the top border of the secondary price channel by $0.22 (0.26%). This indicates a possible reversal in the secondary trend direction.