General Motors Company (GM)
General Motors Company (GM) is an American multinational corporation headquartered in Detroit, Michigan that designs, manufactures, markets, and distributes vehicles and vehicle parts, and sells financial services, with global headquarters in Detroit's Renaissance Center.
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 56.07% per annum.
- GM price at the close of April 17, 2025 was $44.57 and was lower than the bottom border of the primary price channel by $9.24 (17.17%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 38.46% per annum.
- GM price at the close of April 17, 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 GM 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 10, 2023
End date: January 27, 2025
a = 1.9179
b = 0.0012
s = 0.0778
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0012) – 1
= 56.07%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0778) – 1
= 36.51%
August 10, 2023 calculations
Top border of price channel:
Exp(Y833)
= Exp(a + b × X833 + 2 × s)
= Exp(a + b × 1,207 + 2 × s)
= Exp(1.9179 + 0.0012 × 1,207 + 2 × 0.0778)
= Exp(3.5454)
= $34.65
Bottom border of price channel:
Exp(Y833)
= Exp(a + b × X833 – 2 × s)
= Exp(a + b × 1,207 – 2 × s)
= Exp(1.9179 + 0.0012 × 1,207 – 2 × 0.0778)
= Exp(3.2342)
= $25.39
January 27, 2025 calculations
Top border of price channel:
Exp(Y1,199)
= Exp(a + b × X1,199 + 2 × s)
= Exp(a + b × 1,743 + 2 × s)
= Exp(1.9179 + 0.0012 × 1,743 + 2 × 0.0778)
= Exp(4.1991)
= $66.63
Bottom border of price channel:
Exp(Y1,199)
= Exp(a + b × X1,199 – 2 × s)
= Exp(a + b × 1,743 – 2 × s)
= Exp(1.9179 + 0.0012 × 1,743 – 2 × 0.0778)
= Exp(3.8879)
= $48.81
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 56.07% per annum.
- GM price at the close of April 17, 2025 was $44.57 and was lower than the bottom border of the primary price channel by $9.24 (17.17%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: November 5, 2024
End date: April 17, 2025
a = 6.2353
b = -0.0013
s = 0.0373
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0013) – 1
= -38.46%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0373) – 1
= 16.10%
November 5, 2024 calculations
Top border of price channel:
Exp(Y1,145)
= Exp(a + b × X1,145 + 2 × s)
= Exp(a + b × 1,660 + 2 × s)
= Exp(6.2353 + -0.0013 × 1,660 + 2 × 0.0373)
= Exp(4.1022)
= $60.47
Bottom border of price channel:
Exp(Y1,145)
= Exp(a + b × X1,145 – 2 × s)
= Exp(a + b × 1,660 – 2 × s)
= Exp(6.2353 + -0.0013 × 1,660 – 2 × 0.0373)
= Exp(3.9529)
= $52.09
April 17, 2025 calculations
Top border of price channel:
Exp(Y1,256)
= Exp(a + b × X1,256 + 2 × s)
= Exp(a + b × 1,823 + 2 × s)
= Exp(6.2353 + -0.0013 × 1,823 + 2 × 0.0373)
= Exp(3.8854)
= $48.69
Bottom border of price channel:
Exp(Y1,256)
= Exp(a + b × X1,256 – 2 × s)
= Exp(a + b × 1,823 – 2 × s)
= Exp(6.2353 + -0.0013 × 1,823 – 2 × 0.0373)
= Exp(3.7362)
= $41.94
Description
- The secondary trend is decreasing.
- The decline rate of the secondary trend is 38.46% per annum.
- GM price at the close of April 17, 2025 was inside the secondary price channel.