Stock Price Trends

Green Dot Corporation (GDOT)

Green Dot Corporation is a banking and fintech holding company in the United States. The company is headquartered in Pasadena, California.

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 59.11% per annum.
  • GDOT price at the close of November 19, 2024 was $10.66 and was inside the primary price channel.
  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 23.34% per annum.
  • GDOT price at the close of November 19, 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 GDOT 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: February 2, 2024
End date: November 15, 2024

a = 0.1475

b = 0.0013

s = 0.0574

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0013) – 1
= 59.11%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0574) – 1
= 25.82%

February 2, 2024 calculations

Top border of price channel:

Exp(Y1,056)
= Exp(a + b × X1,056 + 2 × s)
= Exp(a + b × 1,535 + 2 × s)
= Exp(0.1475 + 0.0013 × 1,535 + 2 × 0.0574)
= Exp(2.2155)
= $9.17

Bottom border of price channel:

Exp(Y1,056)
= Exp(a + b × X1,056 – 2 × s)
= Exp(a + b × 1,535 – 2 × s)
= Exp(0.1475 + 0.0013 × 1,535 – 2 × 0.0574)
= Exp(1.9858)
= $7.28

November 15, 2024 calculations

Top border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 + 2 × s)
= Exp(a + b × 1,822 + 2 × s)
= Exp(0.1475 + 0.0013 × 1,822 + 2 × 0.0574)
= Exp(2.5806)
= $13.21

Bottom border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 – 2 × s)
= Exp(a + b × 1,822 – 2 × s)
= Exp(0.1475 + 0.0013 × 1,822 – 2 × 0.0574)
= Exp(2.3509)
= $10.50

Description

  • The primary trend is increasing.
  • The growth rate of the primary trend is 59.11% per annum.
  • GDOT price at the close of November 19, 2024 was $10.66 and was inside the primary price channel.

Secondary Trend

Start date: September 13, 2024
End date: November 19, 2024

a = 3.7493

b = -0.0007

s = 0.0491

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0007) – 1
= -23.34%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0491) – 1
= 21.68%

September 13, 2024 calculations

Top border of price channel:

Exp(Y1,210)
= Exp(a + b × X1,210 + 2 × s)
= Exp(a + b × 1,759 + 2 × s)
= Exp(3.7493 + -0.0007 × 1,759 + 2 × 0.0491)
= Exp(2.5667)
= $13.02

Bottom border of price channel:

Exp(Y1,210)
= Exp(a + b × X1,210 – 2 × s)
= Exp(a + b × 1,759 – 2 × s)
= Exp(3.7493 + -0.0007 × 1,759 – 2 × 0.0491)
= Exp(2.3705)
= $10.70

November 19, 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(3.7493 + -0.0007 × 1,826 + 2 × 0.0491)
= Exp(2.5179)
= $12.40

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(3.7493 + -0.0007 × 1,826 – 2 × 0.0491)
= Exp(2.3217)
= $10.19

Description

  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 23.34% per annum.
  • GDOT price at the close of November 19, 2024 was inside the secondary price channel.