Stock Price Trends

Jacobs Solutions Inc. (J)

Jacobs Engineering Group Inc. (NYSE: J) is an American international technical professional services firm. The company provides technical, professional and construction services, as well as scientific and specialty consulting for a broad range of clients globally, including companies, organizations, and government agencies.

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 6.74% per annum.
  • J price at the close of November 19, 2024 was $133.52 and was higher than the top border of the primary price channel by $36.23 (37.25%). This indicates a possible reversal in the primary trend direction.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 17.60% per annum.
  • J 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 J 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: March 8, 2021
End date: July 20, 2023

a = 4.8226

b = -0.0002

s = 0.0522

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0002) – 1
= -6.74%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0522) – 1
= 23.20%

March 8, 2021 calculations

Top border of price channel:

Exp(Y324)
= Exp(a + b × X324 + 2 × s)
= Exp(a + b × 474 + 2 × s)
= Exp(4.8226 + -0.0002 × 474 + 2 × 0.0522)
= Exp(4.8363)
= $126.00

Bottom border of price channel:

Exp(Y324)
= Exp(a + b × X324 – 2 × s)
= Exp(a + b × 474 – 2 × s)
= Exp(4.8226 + -0.0002 × 474 – 2 × 0.0522)
= Exp(4.6276)
= $102.27

July 20, 2023 calculations

Top border of price channel:

Exp(Y920)
= Exp(a + b × X920 + 2 × s)
= Exp(a + b × 1,338 + 2 × s)
= Exp(4.8226 + -0.0002 × 1,338 + 2 × 0.0522)
= Exp(4.6710)
= $106.80

Bottom border of price channel:

Exp(Y920)
= Exp(a + b × X920 – 2 × s)
= Exp(a + b × 1,338 – 2 × s)
= Exp(4.8226 + -0.0002 × 1,338 – 2 × 0.0522)
= Exp(4.4623)
= $86.69

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 6.74% per annum.
  • J price at the close of November 19, 2024 was $133.52 and was higher than the top border of the primary price channel by $36.23 (37.25%). This indicates a possible reversal in the primary trend direction.

Secondary Trend

Start date: September 13, 2022
End date: November 19, 2024

a = 4.0595

b = 0.0004

s = 0.0520

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0004) – 1
= 17.60%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0520) – 1
= 23.13%

September 13, 2022 calculations

Top border of price channel:

Exp(Y707)
= Exp(a + b × X707 + 2 × s)
= Exp(a + b × 1,028 + 2 × s)
= Exp(4.0595 + 0.0004 × 1,028 + 2 × 0.0520)
= Exp(4.6201)
= $101.50

Bottom border of price channel:

Exp(Y707)
= Exp(a + b × X707 – 2 × s)
= Exp(a + b × 1,028 – 2 × s)
= Exp(4.0595 + 0.0004 × 1,028 – 2 × 0.0520)
= Exp(4.4120)
= $82.44

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(4.0595 + 0.0004 × 1,826 + 2 × 0.0520)
= Exp(4.9745)
= $144.68

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(4.0595 + 0.0004 × 1,826 – 2 × 0.0520)
= Exp(4.7665)
= $117.50

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 17.60% per annum.
  • J price at the close of November 19, 2024 was inside the secondary price channel.