Stock Price Trends

Warner Bros Discovery Inc (WBD)

Warner Bros. 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 increasing.
  • The growth rate of the primary trend is 6,113.06% per annum.
  • WBD price at the close of November 19, 2024 was $9.50 and was lower than the bottom border of the primary price channel by $251,826,999.93 (100.00%). This indicates a possible reversal in the primary trend direction.
  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 35.33% per annum.
  • WBD price at the close of November 19, 2024 was higher than the top border of the secondary price channel by $0.37 (4.06%). 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 WBD 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 6, 2021
End date: March 23, 2021

a = -1.2105

b = 0.0113

s = 0.0514

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0113) – 1
= 6,113.06%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0514) – 1
= 22.83%

January 6, 2021 calculations

Top border of price channel:

Exp(Y283)
= Exp(a + b × X283 + 2 × s)
= Exp(a + b × 413 + 2 × s)
= Exp(-1.2105 + 0.0113 × 413 + 2 × 0.0514)
= Exp(3.5646)
= $35.33

Bottom border of price channel:

Exp(Y283)
= Exp(a + b × X283 – 2 × s)
= Exp(a + b × 413 – 2 × s)
= Exp(-1.2105 + 0.0113 × 413 – 2 × 0.0514)
= Exp(3.3590)
= $28.76

March 23, 2021 calculations

Top border of price channel:

Exp(Y335)
= Exp(a + b × X335 + 2 × s)
= Exp(a + b × 489 + 2 × s)
= Exp(-1.2105 + 0.0113 × 489 + 2 × 0.0514)
= Exp(4.4244)
= $83.46

Bottom border of price channel:

Exp(Y335)
= Exp(a + b × X335 – 2 × s)
= Exp(a + b × 489 – 2 × s)
= Exp(-1.2105 + 0.0113 × 489 – 2 × 0.0514)
= Exp(4.2188)
= $67.95

Description

  • The primary trend is increasing.
  • The growth rate of the primary trend is 6,113.06% per annum.
  • WBD price at the close of November 19, 2024 was $9.50 and was lower than the bottom border of the primary price channel by $251,826,999.93 (100.00%). This indicates a possible reversal in the primary trend direction.

Secondary Trend

Start date: March 26, 2021
End date: November 6, 2024

a = 4.0641

b = -0.0012

s = 0.1641

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × -0.0012) – 1
= -35.33%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.1641) – 1
= 92.78%

March 26, 2021 calculations

Top border of price channel:

Exp(Y338)
= Exp(a + b × X338 + 2 × s)
= Exp(a + b × 492 + 2 × s)
= Exp(4.0641 + -0.0012 × 492 + 2 × 0.1641)
= Exp(3.8047)
= $44.91

Bottom border of price channel:

Exp(Y338)
= Exp(a + b × X338 – 2 × s)
= Exp(a + b × 492 – 2 × s)
= Exp(4.0641 + -0.0012 × 492 – 2 × 0.1641)
= Exp(3.1483)
= $23.30

November 6, 2024 calculations

Top border of price channel:

Exp(Y1,246)
= Exp(a + b × X1,246 + 2 × s)
= Exp(a + b × 1,813 + 2 × s)
= Exp(4.0641 + -0.0012 × 1,813 + 2 × 0.1641)
= Exp(2.2270)
= $9.27

Bottom border of price channel:

Exp(Y1,246)
= Exp(a + b × X1,246 – 2 × s)
= Exp(a + b × 1,813 – 2 × s)
= Exp(4.0641 + -0.0012 × 1,813 – 2 × 0.1641)
= Exp(1.5706)
= $4.81

Description

  • The secondary trend is decreasing.
  • The decline rate of the secondary trend is 35.33% per annum.
  • WBD price at the close of November 19, 2024 was higher than the top border of the secondary price channel by $0.37 (4.06%). This indicates a possible reversal in the secondary trend direction.