Stock Price Trends

Sealed Air Corporation (SEE)

Sealed Air Corporation is a packaging company known for its brands: Cryovac food packaging and Bubble Wrap cushioning packaging.

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 23.92% per annum.
  • SEE price at the close of March 31, 2025 was $28.90 and was inside the primary price channel.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 5.41% per annum.
  • SEE price at the close of March 31, 2025 was lower than the bottom border of the secondary price channel by $2.89 (9.09%). 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 SEE 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 6, 2021
End date: May 6, 2024

a = 4.5642

b = -0.0007

s = 0.1008

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0007) – 1
= -23.92%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.1008) – 1
= 49.68%

August 6, 2021 calculations

Top border of price channel:

Exp(Y340)
= Exp(a + b × X340 + 2 × s)
= Exp(a + b × 492 + 2 × s)
= Exp(4.5642 + -0.0007 × 492 + 2 × 0.1008)
= Exp(4.3973)
= $81.23

Bottom border of price channel:

Exp(Y340)
= Exp(a + b × X340 – 2 × s)
= Exp(a + b × 492 – 2 × s)
= Exp(4.5642 + -0.0007 × 492 – 2 × 0.1008)
= Exp(3.9940)
= $54.27

May 6, 2024 calculations

Top border of price channel:

Exp(Y1,030)
= Exp(a + b × X1,030 + 2 × s)
= Exp(a + b × 1,496 + 2 × s)
= Exp(4.5642 + -0.0007 × 1,496 + 2 × 0.1008)
= Exp(3.6452)
= $38.29

Bottom border of price channel:

Exp(Y1,030)
= Exp(a + b × X1,030 – 2 × s)
= Exp(a + b × 1,496 – 2 × s)
= Exp(4.5642 + -0.0007 × 1,496 – 2 × 0.1008)
= Exp(3.2419)
= $25.58

Description

  • The primary trend is decreasing.
  • The decline rate of the primary trend is 23.92% per annum.
  • SEE price at the close of March 31, 2025 was $28.90 and was inside the primary price channel.

Secondary Trend

Start date: August 14, 2023
End date: February 28, 2025

a = 3.3093

b = 0.0001

s = 0.0569

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0001) – 1
= 5.41%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0569) – 1
= 25.55%

August 14, 2023 calculations

Top border of price channel:

Exp(Y847)
= Exp(a + b × X847 + 2 × s)
= Exp(a + b × 1,230 + 2 × s)
= Exp(3.3093 + 0.0001 × 1,230 + 2 × 0.0569)
= Exp(3.6007)
= $36.62

Bottom border of price channel:

Exp(Y847)
= Exp(a + b × X847 – 2 × s)
= Exp(a + b × 1,230 – 2 × s)
= Exp(3.3093 + 0.0001 × 1,230 – 2 × 0.0569)
= Exp(3.3732)
= $29.17

February 28, 2025 calculations

Top border of price channel:

Exp(Y1,234)
= Exp(a + b × X1,234 + 2 × s)
= Exp(a + b × 1,794 + 2 × s)
= Exp(3.3093 + 0.0001 × 1,794 + 2 × 0.0569)
= Exp(3.6822)
= $39.73

Bottom border of price channel:

Exp(Y1,234)
= Exp(a + b × X1,234 – 2 × s)
= Exp(a + b × 1,794 – 2 × s)
= Exp(3.3093 + 0.0001 × 1,794 – 2 × 0.0569)
= Exp(3.4546)
= $31.65

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 5.41% per annum.
  • SEE price at the close of March 31, 2025 was lower than the bottom border of the secondary price channel by $2.89 (9.09%). This indicates a possible reversal in the secondary trend direction.