Eastman Chemical Company (EMN)
Eastman Chemical Company is an American company primarily involved in the chemical industry. Once a subsidiary of Kodak, today it is an independent global specialty materials company that produces a broad range of advanced materials, chemicals and fibers for everyday purposes. The company is headquartered in Kingsport, Tennessee.
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 42.91% per annum.
- EMN price at the close of November 20, 2024 was $101.37 and was lower than the bottom border of the primary price channel by $0.71 (0.70%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 51.76% per annum.
- EMN 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 EMN 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 7, 2023
End date: October 31, 2024
a = 2.9375
b = 0.0010
s = 0.0489
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0010) – 1
= 42.91%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0489) – 1
= 21.61%
September 7, 2023 calculations
Top border of price channel:
Exp(Y953)
= Exp(a + b × X953 + 2 × s)
= Exp(a + b × 1,386 + 2 × s)
= Exp(2.9375 + 0.0010 × 1,386 + 2 × 0.0489)
= Exp(4.3910)
= $80.72
Bottom border of price channel:
Exp(Y953)
= Exp(a + b × X953 – 2 × s)
= Exp(a + b × 1,386 – 2 × s)
= Exp(2.9375 + 0.0010 × 1,386 – 2 × 0.0489)
= Exp(4.1954)
= $66.38
October 31, 2024 calculations
Top border of price channel:
Exp(Y1,243)
= Exp(a + b × X1,243 + 2 × s)
= Exp(a + b × 1,806 + 2 × s)
= Exp(2.9375 + 0.0010 × 1,806 + 2 × 0.0489)
= Exp(4.8018)
= $121.73
Bottom border of price channel:
Exp(Y1,243)
= Exp(a + b × X1,243 – 2 × s)
= Exp(a + b × 1,806 – 2 × s)
= Exp(2.9375 + 0.0010 × 1,806 – 2 × 0.0489)
= Exp(4.6062)
= $100.10
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 42.91% per annum.
- EMN price at the close of November 20, 2024 was $101.37 and was lower than the bottom border of the primary price channel by $0.71 (0.70%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: September 24, 2024
End date: November 20, 2024
a = 8.2570
b = -0.0020
s = 0.0149
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0020) – 1
= -51.76%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0149) – 1
= 6.15%
September 24, 2024 calculations
Top border of price channel:
Exp(Y1,216)
= Exp(a + b × X1,216 + 2 × s)
= Exp(a + b × 1,769 + 2 × s)
= Exp(8.2570 + -0.0020 × 1,769 + 2 × 0.0149)
= Exp(4.7535)
= $115.99
Bottom border of price channel:
Exp(Y1,216)
= Exp(a + b × X1,216 – 2 × s)
= Exp(a + b × 1,769 – 2 × s)
= Exp(8.2570 + -0.0020 × 1,769 – 2 × 0.0149)
= Exp(4.6938)
= $109.27
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(8.2570 + -0.0020 × 1,826 + 2 × 0.0149)
= Exp(4.6397)
= $103.51
Bottom border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(8.2570 + -0.0020 × 1,826 – 2 × 0.0149)
= Exp(4.5800)
= $97.51
Description
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 51.76% per annum.
- EMN price at the close of November 20, 2024 was inside the secondary price channel.