Otis Worldwide Corp (OTIS)
Otis Worldwide Corporation is an American company that develops, manufactures and markets elevators, escalators, moving walkways, and related equipment.
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 12.12% per annum.
- OTIS price at the close of November 19, 2024 was $100.28 and was higher than the top border of the primary price channel by $41.36 (70.20%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 15.69% per annum.
- OTIS 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 OTIS 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: April 26, 2021
End date: November 10, 2022
a = 4.5612
b = -0.0004
s = 0.0595
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × -0.0004) – 1
= -12.12%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0595) – 1
= 26.86%
April 26, 2021 calculations
Top border of price channel:
Exp(Y277)
= Exp(a + b × X277 + 2 × s)
= Exp(a + b × 403 + 2 × s)
= Exp(4.5612 + -0.0004 × 403 + 2 × 0.0595)
= Exp(4.5375)
= $93.45
Bottom border of price channel:
Exp(Y277)
= Exp(a + b × X277 – 2 × s)
= Exp(a + b × 403 – 2 × s)
= Exp(4.5612 + -0.0004 × 403 – 2 × 0.0595)
= Exp(4.2996)
= $73.67
November 10, 2022 calculations
Top border of price channel:
Exp(Y668)
= Exp(a + b × X668 + 2 × s)
= Exp(a + b × 966 + 2 × s)
= Exp(4.5612 + -0.0004 × 966 + 2 × 0.0595)
= Exp(4.3381)
= $76.56
Bottom border of price channel:
Exp(Y668)
= Exp(a + b × X668 – 2 × s)
= Exp(a + b × 966 – 2 × s)
= Exp(4.5612 + -0.0004 × 966 – 2 × 0.0595)
= Exp(4.1002)
= $60.35
Description
- The primary trend is decreasing.
- The decline rate of the primary trend is 12.12% per annum.
- OTIS price at the close of November 19, 2024 was $100.28 and was higher than the top border of the primary price channel by $41.36 (70.20%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: March 7, 2022
End date: November 19, 2024
a = 3.9259
b = 0.0004
s = 0.0543
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0004) – 1
= 15.69%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0543) – 1
= 24.26%
March 7, 2022 calculations
Top border of price channel:
Exp(Y495)
= Exp(a + b × X495 + 2 × s)
= Exp(a + b × 718 + 2 × s)
= Exp(3.9259 + 0.0004 × 718 + 2 × 0.0543)
= Exp(4.3213)
= $75.28
Bottom border of price channel:
Exp(Y495)
= Exp(a + b × X495 – 2 × s)
= Exp(a + b × 718 – 2 × s)
= Exp(3.9259 + 0.0004 × 718 – 2 × 0.0543)
= Exp(4.1040)
= $60.58
November 19, 2024 calculations
Top border of price channel:
Exp(Y1,176)
= Exp(a + b × X1,176 + 2 × s)
= Exp(a + b × 1,706 + 2 × s)
= Exp(3.9259 + 0.0004 × 1,706 + 2 × 0.0543)
= Exp(4.7158)
= $111.70
Bottom border of price channel:
Exp(Y1,176)
= Exp(a + b × X1,176 – 2 × s)
= Exp(a + b × 1,706 – 2 × s)
= Exp(3.9259 + 0.0004 × 1,706 – 2 × 0.0543)
= Exp(4.4986)
= $89.89
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 15.69% per annum.
- OTIS price at the close of November 19, 2024 was inside the secondary price channel.