Stock Price Trends

Visa Inc. Class A (V)

Visa Inc. is an American multinational financial services corporation headquartered in Foster City, California, United States. It facilitates electronic funds transfers throughout the world, most commonly through Visa-branded credit cards, debit cards and prepaid cards. Visa is one of the world's most valuable companies.

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 19.44% per annum.
  • V price at the close of November 20, 2024 was $307.39 and was inside the primary price channel.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 153.82% per annum.
  • V price at the close of November 20, 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 V 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: June 10, 2022
End date: November 20, 2024

a = 4.8004

b = 0.0005

s = 0.0446

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0005) – 1
= 19.44%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0446) – 1
= 19.51%

June 10, 2022 calculations

Top border of price channel:

Exp(Y642)
= Exp(a + b × X642 + 2 × s)
= Exp(a + b × 932 + 2 × s)
= Exp(4.8004 + 0.0005 × 932 + 2 × 0.0446)
= Exp(5.3430)
= $209.13

Bottom border of price channel:

Exp(Y642)
= Exp(a + b × X642 – 2 × s)
= Exp(a + b × 932 – 2 × s)
= Exp(4.8004 + 0.0005 × 932 – 2 × 0.0446)
= Exp(5.1648)
= $175.00

November 20, 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(4.8004 + 0.0005 × 1,826 + 2 × 0.0446)
= Exp(5.7780)
= $323.11

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(4.8004 + 0.0005 × 1,826 – 2 × 0.0446)
= Exp(5.5998)
= $270.37

Description

  • The primary trend is increasing.
  • The growth rate of the primary trend is 19.44% per annum.
  • V price at the close of November 20, 2024 was $307.39 and was inside the primary price channel.

Secondary Trend

Start date: September 24, 2024
End date: November 20, 2024

a = 1.0761

b = 0.0026

s = 0.0175

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0026) – 1
= 153.82%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0175) – 1
= 7.24%

September 24, 2024 calculations

Top border of price channel:

Exp(Y1,216)
= Exp(a + b × X1,216 + 2 × s)
= Exp(a + b × 1,769 + 2 × s)
= Exp(1.0761 + 0.0026 × 1,769 + 2 × 0.0175)
= Exp(5.6255)
= $277.41

Bottom border of price channel:

Exp(Y1,216)
= Exp(a + b × X1,216 – 2 × s)
= Exp(a + b × 1,769 – 2 × s)
= Exp(1.0761 + 0.0026 × 1,769 – 2 × 0.0175)
= Exp(5.5556)
= $258.68

November 20, 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(1.0761 + 0.0026 × 1,826 + 2 × 0.0175)
= Exp(5.7710)
= $320.85

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(1.0761 + 0.0026 × 1,826 – 2 × 0.0175)
= Exp(5.7010)
= $299.18

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 153.82% per annum.
  • V price at the close of November 20, 2024 was inside the secondary price channel.