Palo Alto Networks Inc (PANW)
Palo Alto Networks, Inc. provides cybersecurity platform solutions globally. The company is headquartered in Santa Clara, California.
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 83.72% per annum.
- PANW price at the close of November 19, 2024 was $388.06 and was lower than the bottom border of the primary price channel by $44.41 (10.27%). This indicates a possible reversal in the primary trend direction.
- The secondary trend is increasing.
- The growth rate of the secondary trend is 39.59% per annum.
- PANW price at the close of November 19, 2024 was inside the secondary price channel.
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 PANW 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: October 10, 2022
End date: February 20, 2024
a = 3.1985
b = 0.0017
s = 0.0859
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0017) – 1
= 83.72%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0859) – 1
= 41.02%
October 10, 2022 calculations
Top border of price channel:
Exp(Y726)
= Exp(a + b × X726 + 2 × s)
= Exp(a + b × 1,055 + 2 × s)
= Exp(3.1985 + 0.0017 × 1,055 + 2 × 0.0859)
= Exp(5.1284)
= $168.75
Bottom border of price channel:
Exp(Y726)
= Exp(a + b × X726 – 2 × s)
= Exp(a + b × 1,055 – 2 × s)
= Exp(3.1985 + 0.0017 × 1,055 – 2 × 0.0859)
= Exp(4.7847)
= $119.67
February 20, 2024 calculations
Top border of price channel:
Exp(Y1,067)
= Exp(a + b × X1,067 + 2 × s)
= Exp(a + b × 1,553 + 2 × s)
= Exp(3.1985 + 0.0017 × 1,553 + 2 × 0.0859)
= Exp(5.9583)
= $386.95
Bottom border of price channel:
Exp(Y1,067)
= Exp(a + b × X1,067 – 2 × s)
= Exp(a + b × 1,553 – 2 × s)
= Exp(3.1985 + 0.0017 × 1,553 – 2 × 0.0859)
= Exp(5.6146)
= $274.40
Description
- The primary trend is increasing.
- The growth rate of the primary trend is 83.72% per annum.
- PANW price at the close of November 19, 2024 was $388.06 and was lower than the bottom border of the primary price channel by $44.41 (10.27%). This indicates a possible reversal in the primary trend direction.
Secondary Trend
Start date: May 25, 2023
End date: November 19, 2024
a = 4.2512
b = 0.0009
s = 0.0802
Annual growth rate:
Exp(365 × b) – 1
= Exp(365 × 0.0009) – 1
= 39.59%
Price channel spread:
Exp(4 × s) – 1
= Exp(4 × 0.0802) – 1
= 37.84%
May 25, 2023 calculations
Top border of price channel:
Exp(Y883)
= Exp(a + b × X883 + 2 × s)
= Exp(a + b × 1,282 + 2 × s)
= Exp(4.2512 + 0.0009 × 1,282 + 2 × 0.0802)
= Exp(5.5831)
= $265.88
Bottom border of price channel:
Exp(Y883)
= Exp(a + b × X883 – 2 × s)
= Exp(a + b × 1,282 – 2 × s)
= Exp(4.2512 + 0.0009 × 1,282 – 2 × 0.0802)
= Exp(5.2622)
= $192.90
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(4.2512 + 0.0009 × 1,826 + 2 × 0.0802)
= Exp(6.0801)
= $437.09
Bottom border of price channel:
Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(4.2512 + 0.0009 × 1,826 – 2 × 0.0802)
= Exp(5.7592)
= $317.11
Description
- The secondary trend is increasing.
- The growth rate of the secondary trend is 39.59% per annum.
- PANW price at the close of November 19, 2024 was inside the secondary price channel.