Stock Price Trends

Iridium Communications Inc (IRDM)

Iridium Communications Inc. provides mobile voice and data communications products and services to businesses, governments in the United States and other countries, non-governmental organizations, and consumers around the world. The company is headquartered in McLean, Virginia.

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 47.25% per annum.
  • IRDM price at the close of January 27, 2025 was $29.82 and was higher than the top border of the primary price channel by $7.24 (32.09%). This indicates a possible reversal in the primary trend direction.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 10.56% per annum.
  • IRDM price at the close of January 27, 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 IRDM 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: January 6, 2023
End date: September 13, 2024

a = 6.1129

b = -0.0018

s = 0.1018

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0018) – 1
= -47.25%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.1018) – 1
= 50.29%

January 6, 2023 calculations

Top border of price channel:

Exp(Y742)
= Exp(a + b × X742 + 2 × s)
= Exp(a + b × 1,074 + 2 × s)
= Exp(6.1129 + -0.0018 × 1,074 + 2 × 0.1018)
= Exp(4.4346)
= $84.32

Bottom border of price channel:

Exp(Y742)
= Exp(a + b × X742 – 2 × s)
= Exp(a + b × 1,074 – 2 × s)
= Exp(6.1129 + -0.0018 × 1,074 – 2 × 0.1018)
= Exp(4.0272)
= $56.11

September 13, 2024 calculations

Top border of price channel:

Exp(Y1,165)
= Exp(a + b × X1,165 + 2 × s)
= Exp(a + b × 1,690 + 2 × s)
= Exp(6.1129 + -0.0018 × 1,690 + 2 × 0.1018)
= Exp(3.3552)
= $28.65

Bottom border of price channel:

Exp(Y1,165)
= Exp(a + b × X1,165 – 2 × s)
= Exp(a + b × 1,690 – 2 × s)
= Exp(6.1129 + -0.0018 × 1,690 – 2 × 0.1018)
= Exp(2.9478)
= $19.06

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 47.25% per annum.
  • IRDM price at the close of January 27, 2025 was $29.82 and was higher than the top border of the primary price channel by $7.24 (32.09%). This indicates a possible reversal in the primary trend direction.

Secondary Trend

Start date: February 20, 2024
End date: January 27, 2025

a = 2.8791

b = 0.0003

s = 0.0610

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0003) – 1
= 10.56%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0610) – 1
= 27.64%

February 20, 2024 calculations

Top border of price channel:

Exp(Y1,022)
= Exp(a + b × X1,022 + 2 × s)
= Exp(a + b × 1,484 + 2 × s)
= Exp(2.8791 + 0.0003 × 1,484 + 2 × 0.0610)
= Exp(3.4091)
= $30.24

Bottom border of price channel:

Exp(Y1,022)
= Exp(a + b × X1,022 – 2 × s)
= Exp(a + b × 1,484 – 2 × s)
= Exp(2.8791 + 0.0003 × 1,484 – 2 × 0.0610)
= Exp(3.1651)
= $23.69

January 27, 2025 calculations

Top border of price channel:

Exp(Y1,256)
= Exp(a + b × X1,256 + 2 × s)
= Exp(a + b × 1,826 + 2 × s)
= Exp(2.8791 + 0.0003 × 1,826 + 2 × 0.0610)
= Exp(3.5032)
= $33.22

Bottom border of price channel:

Exp(Y1,256)
= Exp(a + b × X1,256 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(2.8791 + 0.0003 × 1,826 – 2 × 0.0610)
= Exp(3.2591)
= $26.03

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 10.56% per annum.
  • IRDM price at the close of January 27, 2025 was inside the secondary price channel.