Stock Price Trends

Jack Henry & Associates Inc (JKHY)

Jack Henry & Associates, Inc. is a technology company and payment processing service for the financial services industry.

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 15.75% per annum.
  • JKHY price at the close of November 19, 2024 was $171.63 and was inside the primary price channel.
  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 84.21% per annum.
  • JKHY 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 JKHY 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 16, 2023
End date: November 15, 2024

a = 4.4600

b = 0.0004

s = 0.0405

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0004) – 1
= 15.75%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0405) – 1
= 17.57%

August 16, 2023 calculations

Top border of price channel:

Exp(Y939)
= Exp(a + b × X939 + 2 × s)
= Exp(a + b × 1,365 + 2 × s)
= Exp(4.4600 + 0.0004 × 1,365 + 2 × 0.0405)
= Exp(5.0880)
= $162.06

Bottom border of price channel:

Exp(Y939)
= Exp(a + b × X939 – 2 × s)
= Exp(a + b × 1,365 – 2 × s)
= Exp(4.4600 + 0.0004 × 1,365 – 2 × 0.0405)
= Exp(4.9261)
= $137.84

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(4.4600 + 0.0004 × 1,822 + 2 × 0.0405)
= Exp(5.2711)
= $194.63

Bottom border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 – 2 × s)
= Exp(a + b × 1,822 – 2 × s)
= Exp(4.4600 + 0.0004 × 1,822 – 2 × 0.0405)
= Exp(5.1093)
= $165.55

Description

  • The primary trend is increasing.
  • The growth rate of the primary trend is 15.75% per annum.
  • JKHY price at the close of November 19, 2024 was $171.63 and was inside the primary price channel.

Secondary Trend

Start date: November 4, 2024
End date: November 19, 2024

a = 14.3727

b = -0.0051

s = 0.0079

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0051) – 1
= -84.21%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0079) – 1
= 3.19%

November 4, 2024 calculations

Top border of price channel:

Exp(Y1,246)
= Exp(a + b × X1,246 + 2 × s)
= Exp(a + b × 1,811 + 2 × s)
= Exp(14.3727 + -0.0051 × 1,811 + 2 × 0.0079)
= Exp(5.2290)
= $186.61

Bottom border of price channel:

Exp(Y1,246)
= Exp(a + b × X1,246 – 2 × s)
= Exp(a + b × 1,811 – 2 × s)
= Exp(14.3727 + -0.0051 × 1,811 – 2 × 0.0079)
= Exp(5.1976)
= $180.84

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(14.3727 + -0.0051 × 1,826 + 2 × 0.0079)
= Exp(5.1532)
= $172.98

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(14.3727 + -0.0051 × 1,826 – 2 × 0.0079)
= Exp(5.1217)
= $167.63

Description

  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 84.21% per annum.
  • JKHY price at the close of November 19, 2024 was inside the secondary price channel.