Stock Price Trends

IPG Photonics Corporation (IPGP)

IPG Photonics is a manufacturer of fiber lasers.

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 27.16% per annum.
  • IPGP price at the close of April 3, 2025 was $55.09 and was inside the primary price channel.
  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 50.74% per annum.
  • IPGP price at the close of April 3, 2025 was lower than the bottom border of the secondary price channel by $0.13 (0.24%).

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 IPGP 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 14, 2023
End date: April 3, 2025

a = 5.7500

b = -0.0009

s = 0.0810

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0009) – 1
= -27.16%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0810) – 1
= 38.24%

February 14, 2023 calculations

Top border of price channel:

Exp(Y720)
= Exp(a + b × X720 + 2 × s)
= Exp(a + b × 1,044 + 2 × s)
= Exp(5.7500 + -0.0009 × 1,044 + 2 × 0.0810)
= Exp(5.0054)
= $149.22

Bottom border of price channel:

Exp(Y720)
= Exp(a + b × X720 – 2 × s)
= Exp(a + b × 1,044 – 2 × s)
= Exp(5.7500 + -0.0009 × 1,044 – 2 × 0.0810)
= Exp(4.6816)
= $107.94

April 3, 2025 calculations

Top border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 + 2 × s)
= Exp(a + b × 1,823 + 2 × s)
= Exp(5.7500 + -0.0009 × 1,823 + 2 × 0.0810)
= Exp(4.3290)
= $75.87

Bottom border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 – 2 × s)
= Exp(a + b × 1,823 – 2 × s)
= Exp(5.7500 + -0.0009 × 1,823 – 2 × 0.0810)
= Exp(4.0052)
= $54.88

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 27.16% per annum.
  • IPGP price at the close of April 3, 2025 was $55.09 and was inside the primary price channel.

Secondary Trend

Start date: October 28, 2024
End date: April 3, 2025

a = 7.6476

b = -0.0019

s = 0.0500

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0019) – 1
= -50.74%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0500) – 1
= 22.12%

October 28, 2024 calculations

Top border of price channel:

Exp(Y1,148)
= Exp(a + b × X1,148 + 2 × s)
= Exp(a + b × 1,666 + 2 × s)
= Exp(7.6476 + -0.0019 × 1,666 + 2 × 0.0500)
= Exp(4.5157)
= $91.44

Bottom border of price channel:

Exp(Y1,148)
= Exp(a + b × X1,148 – 2 × s)
= Exp(a + b × 1,666 – 2 × s)
= Exp(7.6476 + -0.0019 × 1,666 – 2 × 0.0500)
= Exp(4.3159)
= $74.88

April 3, 2025 calculations

Top border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 + 2 × s)
= Exp(a + b × 1,823 + 2 × s)
= Exp(7.6476 + -0.0019 × 1,823 + 2 × 0.0500)
= Exp(4.2112)
= $67.44

Bottom border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 – 2 × s)
= Exp(a + b × 1,823 – 2 × s)
= Exp(7.6476 + -0.0019 × 1,823 – 2 × 0.0500)
= Exp(4.0113)
= $55.22

Description

  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 50.74% per annum.
  • IPGP price at the close of April 3, 2025 was lower than the bottom border of the secondary price channel by $0.13 (0.24%).