Stock Price Trends

Medical Properties Trust Inc (MPW)

Medical Properties Trust, Inc. is a self-advised real estate investment trust formed in 2003 to acquire and develop net-leased hospital facilities.

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 47.30% per annum.
  • MPW price at the close of November 19, 2024 was $4.33 and was higher than the top border of the primary price channel by $0.74 (20.68%). This indicates a possible reversal in the primary trend direction.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 105.52% per annum.
  • MPW price at the close of November 19, 2024 was lower than the bottom border of the secondary price channel by $0.68 (13.57%). This indicates a possible reversal in the secondary trend direction.
  • 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 MPW 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: September 1, 2021
End date: May 8, 2024

a = 4.1643

b = -0.0018

s = 0.1591

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0018) – 1
= -47.30%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.1591) – 1
= 88.94%

September 1, 2021 calculations

Top border of price channel:

Exp(Y448)
= Exp(a + b × X448 + 2 × s)
= Exp(a + b × 651 + 2 × s)
= Exp(4.1643 + -0.0018 × 651 + 2 × 0.1591)
= Exp(3.3399)
= $28.22

Bottom border of price channel:

Exp(Y448)
= Exp(a + b × X448 – 2 × s)
= Exp(a + b × 651 – 2 × s)
= Exp(4.1643 + -0.0018 × 651 – 2 × 0.1591)
= Exp(2.7036)
= $14.93

May 8, 2024 calculations

Top border of price channel:

Exp(Y1,122)
= Exp(a + b × X1,122 + 2 × s)
= Exp(a + b × 1,631 + 2 × s)
= Exp(4.1643 + -0.0018 × 1,631 + 2 × 0.1591)
= Exp(1.6199)
= $5.05

Bottom border of price channel:

Exp(Y1,122)
= Exp(a + b × X1,122 – 2 × s)
= Exp(a + b × 1,631 – 2 × s)
= Exp(4.1643 + -0.0018 × 1,631 – 2 × 0.1591)
= Exp(0.9836)
= $2.67

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 47.30% per annum.
  • MPW price at the close of November 19, 2024 was $4.33 and was higher than the top border of the primary price channel by $0.74 (20.68%). This indicates a possible reversal in the primary trend direction.

Secondary Trend

Start date: January 5, 2024
End date: October 10, 2024

a = -1.7909

b = 0.0020

s = 0.1008

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0020) – 1
= 105.52%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.1008) – 1
= 49.63%

January 5, 2024 calculations

Top border of price channel:

Exp(Y1,037)
= Exp(a + b × X1,037 + 2 × s)
= Exp(a + b × 1,507 + 2 × s)
= Exp(-1.7909 + 0.0020 × 1,507 + 2 × 0.1008)
= Exp(1.3848)
= $3.99

Bottom border of price channel:

Exp(Y1,037)
= Exp(a + b × X1,037 – 2 × s)
= Exp(a + b × 1,507 – 2 × s)
= Exp(-1.7909 + 0.0020 × 1,507 – 2 × 0.1008)
= Exp(0.9818)
= $2.67

October 10, 2024 calculations

Top border of price channel:

Exp(Y1,229)
= Exp(a + b × X1,229 + 2 × s)
= Exp(a + b × 1,786 + 2 × s)
= Exp(-1.7909 + 0.0020 × 1,786 + 2 × 0.1008)
= Exp(1.9355)
= $6.93

Bottom border of price channel:

Exp(Y1,229)
= Exp(a + b × X1,229 – 2 × s)
= Exp(a + b × 1,786 – 2 × s)
= Exp(-1.7909 + 0.0020 × 1,786 – 2 × 0.1008)
= Exp(1.5325)
= $4.63

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 105.52% per annum.
  • MPW price at the close of November 19, 2024 was lower than the bottom border of the secondary price channel by $0.68 (13.57%). This indicates a possible reversal in the secondary trend direction.