Stock Price Trends

Scholastic Corporation (SCHL)

Scholastic Corporation publishes and distributes children's books worldwide. The company is headquartered in New York, New York.

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 26.18% per annum.
  • SCHL price at the close of November 19, 2024 was $24.27 and was lower than the bottom border of the primary price channel by $0.43 (1.76%).
  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 51.36% per annum.
  • SCHL 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 SCHL 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: July 17, 2023
End date: November 19, 2024

a = 4.8653

b = -0.0008

s = 0.0698

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0008) – 1
= -26.18%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0698) – 1
= 32.22%

July 17, 2023 calculations

Top border of price channel:

Exp(Y917)
= Exp(a + b × X917 + 2 × s)
= Exp(a + b × 1,335 + 2 × s)
= Exp(4.8653 + -0.0008 × 1,335 + 2 × 0.0698)
= Exp(3.8947)
= $49.14

Bottom border of price channel:

Exp(Y917)
= Exp(a + b × X917 – 2 × s)
= Exp(a + b × 1,335 – 2 × s)
= Exp(4.8653 + -0.0008 × 1,335 – 2 × 0.0698)
= Exp(3.6153)
= $37.16

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(4.8653 + -0.0008 × 1,826 + 2 × 0.0698)
= Exp(3.4863)
= $32.67

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(4.8653 + -0.0008 × 1,826 – 2 × 0.0698)
= Exp(3.2070)
= $24.70

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 26.18% per annum.
  • SCHL price at the close of November 19, 2024 was $24.27 and was lower than the bottom border of the primary price channel by $0.43 (1.76%).

Secondary Trend

Start date: May 3, 2024
End date: November 19, 2024

a = 6.8379

b = -0.0020

s = 0.0558

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0020) – 1
= -51.36%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0558) – 1
= 25.02%

May 3, 2024 calculations

Top border of price channel:

Exp(Y1,119)
= Exp(a + b × X1,119 + 2 × s)
= Exp(a + b × 1,626 + 2 × s)
= Exp(6.8379 + -0.0020 × 1,626 + 2 × 0.0558)
= Exp(3.7393)
= $42.07

Bottom border of price channel:

Exp(Y1,119)
= Exp(a + b × X1,119 – 2 × s)
= Exp(a + b × 1,626 – 2 × s)
= Exp(6.8379 + -0.0020 × 1,626 – 2 × 0.0558)
= Exp(3.5160)
= $33.65

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(6.8379 + -0.0020 × 1,826 + 2 × 0.0558)
= Exp(3.3445)
= $28.35

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(6.8379 + -0.0020 × 1,826 – 2 × 0.0558)
= Exp(3.1212)
= $22.67

Description

  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 51.36% per annum.
  • SCHL price at the close of November 19, 2024 was inside the secondary price channel.