Stock Price Trends

SolarEdge Technologies Inc (SEDG)

SolarEdge Technologies, Inc. designs, develops and sells optimized direct current (DC) inverter systems for solar photovoltaic (PV) installations worldwide. The company is headquartered in Herzliya, Israel.

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 83.20% per annum.
  • SEDG price at the close of March 31, 2025 was $16.18 and was higher than the top border of the primary price channel by $3.08 (23.49%). This indicates a possible reversal in the primary trend direction.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 121.05% per annum.
  • SEDG price at the close of March 31, 2025 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 SEDG 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: January 13, 2023
End date: February 13, 2025

a = 11.1026

b = -0.0049

s = 0.1939

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0049) – 1
= -83.20%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.1939) – 1
= 117.23%

January 13, 2023 calculations

Top border of price channel:

Exp(Y702)
= Exp(a + b × X702 + 2 × s)
= Exp(a + b × 1,017 + 2 × s)
= Exp(11.1026 + -0.0049 × 1,017 + 2 × 0.1939)
= Exp(6.5210)
= $679.24

Bottom border of price channel:

Exp(Y702)
= Exp(a + b × X702 – 2 × s)
= Exp(a + b × 1,017 – 2 × s)
= Exp(11.1026 + -0.0049 × 1,017 – 2 × 0.1939)
= Exp(5.7452)
= $312.69

February 13, 2025 calculations

Top border of price channel:

Exp(Y1,224)
= Exp(a + b × X1,224 + 2 × s)
= Exp(a + b × 1,779 + 2 × s)
= Exp(11.1026 + -0.0049 × 1,779 + 2 × 0.1939)
= Exp(2.7975)
= $16.40

Bottom border of price channel:

Exp(Y1,224)
= Exp(a + b × X1,224 – 2 × s)
= Exp(a + b × 1,779 – 2 × s)
= Exp(11.1026 + -0.0049 × 1,779 – 2 × 0.1939)
= Exp(2.0218)
= $7.55

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 83.20% per annum.
  • SEDG price at the close of March 31, 2025 was $16.18 and was higher than the top border of the primary price channel by $3.08 (23.49%). This indicates a possible reversal in the primary trend direction.

Secondary Trend

Start date: November 8, 2024
End date: March 31, 2025

a = -1.1308

b = 0.0022

s = 0.0941

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0022) – 1
= 121.05%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0941) – 1
= 45.71%

November 8, 2024 calculations

Top border of price channel:

Exp(Y1,160)
= Exp(a + b × X1,160 + 2 × s)
= Exp(a + b × 1,682 + 2 × s)
= Exp(-1.1308 + 0.0022 × 1,682 + 2 × 0.0941)
= Exp(2.7127)
= $15.07

Bottom border of price channel:

Exp(Y1,160)
= Exp(a + b × X1,160 – 2 × s)
= Exp(a + b × 1,682 – 2 × s)
= Exp(-1.1308 + 0.0022 × 1,682 – 2 × 0.0941)
= Exp(2.3363)
= $10.34

March 31, 2025 calculations

Top border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 + 2 × s)
= Exp(a + b × 1,825 + 2 × s)
= Exp(-1.1308 + 0.0022 × 1,825 + 2 × 0.0941)
= Exp(3.0235)
= $20.56

Bottom border of price channel:

Exp(Y1,255)
= Exp(a + b × X1,255 – 2 × s)
= Exp(a + b × 1,825 – 2 × s)
= Exp(-1.1308 + 0.0022 × 1,825 – 2 × 0.0941)
= Exp(2.6470)
= $14.11

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 121.05% per annum.
  • SEDG price at the close of March 31, 2025 was inside the secondary price channel.