Stock Price Trends

Sunrun Inc (RUN)

Sunrun Inc. is dedicated to the design, development, installation, sale, ownership and maintenance of residential solar energy systems in the United States. The company is headquartered in San Francisco, California.

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 38.99% per annum.
  • RUN price at the close of November 19, 2024 was $9.71 and was inside the primary price channel.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 28.58% per annum.
  • RUN price at the close of November 19, 2024 was lower than the bottom border of the secondary price channel by $1.50 (13.35%). 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 RUN 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 28, 2020
End date: July 9, 2024

a = 4.6550

b = -0.0014

s = 0.1967

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0014) – 1
= -38.99%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.1967) – 1
= 119.68%

August 28, 2020 calculations

Top border of price channel:

Exp(Y194)
= Exp(a + b × X194 + 2 × s)
= Exp(a + b × 282 + 2 × s)
= Exp(4.6550 + -0.0014 × 282 + 2 × 0.1967)
= Exp(4.6667)
= $106.35

Bottom border of price channel:

Exp(Y194)
= Exp(a + b × X194 – 2 × s)
= Exp(a + b × 282 – 2 × s)
= Exp(4.6550 + -0.0014 × 282 – 2 × 0.1967)
= Exp(3.8797)
= $48.41

July 9, 2024 calculations

Top border of price channel:

Exp(Y1,163)
= Exp(a + b × X1,163 + 2 × s)
= Exp(a + b × 1,693 + 2 × s)
= Exp(4.6550 + -0.0014 × 1,693 + 2 × 0.1967)
= Exp(2.7566)
= $15.75

Bottom border of price channel:

Exp(Y1,163)
= Exp(a + b × X1,163 – 2 × s)
= Exp(a + b × 1,693 – 2 × s)
= Exp(4.6550 + -0.0014 × 1,693 – 2 × 0.1967)
= Exp(1.9696)
= $7.17

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 38.99% per annum.
  • RUN price at the close of November 19, 2024 was $9.71 and was inside the primary price channel.

Secondary Trend

Start date: August 16, 2023
End date: November 5, 2024

a = 1.5394

b = 0.0007

s = 0.1902

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0007) – 1
= 28.58%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.1902) – 1
= 114.03%

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(1.5394 + 0.0007 × 1,365 + 2 × 0.1902)
= Exp(2.8599)
= $17.46

Bottom border of price channel:

Exp(Y939)
= Exp(a + b × X939 – 2 × s)
= Exp(a + b × 1,365 – 2 × s)
= Exp(1.5394 + 0.0007 × 1,365 – 2 × 0.1902)
= Exp(2.0989)
= $8.16

November 5, 2024 calculations

Top border of price channel:

Exp(Y1,247)
= Exp(a + b × X1,247 + 2 × s)
= Exp(a + b × 1,812 + 2 × s)
= Exp(1.5394 + 0.0007 × 1,812 + 2 × 0.1902)
= Exp(3.1677)
= $23.75

Bottom border of price channel:

Exp(Y1,247)
= Exp(a + b × X1,247 – 2 × s)
= Exp(a + b × 1,812 – 2 × s)
= Exp(1.5394 + 0.0007 × 1,812 – 2 × 0.1902)
= Exp(2.4068)
= $11.10

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 28.58% per annum.
  • RUN price at the close of November 19, 2024 was lower than the bottom border of the secondary price channel by $1.50 (13.35%). This indicates a possible reversal in the secondary trend direction.