Stock Price Trends

Wells Fargo & Company (WFC)

Wells Fargo & Company is an American multinational financial services company with corporate headquarters in San Francisco, California, operational headquarters in Manhattan, and managerial offices throughout the United States and overseas.

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 49.70% per annum.
  • WFC price at the close of November 19, 2024 was $73.43 and was inside the primary price channel.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 568.88% per annum.
  • WFC 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 WFC 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: March 13, 2023
End date: July 31, 2024

a = 2.2113

b = 0.0011

s = 0.0648

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0011) – 1
= 49.70%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0648) – 1
= 29.58%

March 13, 2023 calculations

Top border of price channel:

Exp(Y831)
= Exp(a + b × X831 + 2 × s)
= Exp(a + b × 1,209 + 2 × s)
= Exp(2.2113 + 0.0011 × 1,209 + 2 × 0.0648)
= Exp(3.6773)
= $39.54

Bottom border of price channel:

Exp(Y831)
= Exp(a + b × X831 – 2 × s)
= Exp(a + b × 1,209 – 2 × s)
= Exp(2.2113 + 0.0011 × 1,209 – 2 × 0.0648)
= Exp(3.4182)
= $30.51

July 31, 2024 calculations

Top border of price channel:

Exp(Y1,179)
= Exp(a + b × X1,179 + 2 × s)
= Exp(a + b × 1,715 + 2 × s)
= Exp(2.2113 + 0.0011 × 1,715 + 2 × 0.0648)
= Exp(4.2366)
= $69.17

Bottom border of price channel:

Exp(Y1,179)
= Exp(a + b × X1,179 – 2 × s)
= Exp(a + b × 1,715 – 2 × s)
= Exp(2.2113 + 0.0011 × 1,715 – 2 × 0.0648)
= Exp(3.9775)
= $53.38

Description

  • The primary trend is increasing.
  • The growth rate of the primary trend is 49.70% per annum.
  • WFC price at the close of November 19, 2024 was $73.43 and was inside the primary price channel.

Secondary Trend

Start date: September 11, 2024
End date: November 19, 2024

a = -5.2110

b = 0.0052

s = 0.0294

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0052) – 1
= 568.88%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0294) – 1
= 12.48%

September 11, 2024 calculations

Top border of price channel:

Exp(Y1,208)
= Exp(a + b × X1,208 + 2 × s)
= Exp(a + b × 1,757 + 2 × s)
= Exp(-5.2110 + 0.0052 × 1,757 + 2 × 0.0294)
= Exp(3.9959)
= $54.38

Bottom border of price channel:

Exp(Y1,208)
= Exp(a + b × X1,208 – 2 × s)
= Exp(a + b × 1,757 – 2 × s)
= Exp(-5.2110 + 0.0052 × 1,757 – 2 × 0.0294)
= Exp(3.8783)
= $48.34

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(-5.2110 + 0.0052 × 1,826 + 2 × 0.0294)
= Exp(4.3552)
= $77.88

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,826 – 2 × s)
= Exp(-5.2110 + 0.0052 × 1,826 – 2 × 0.0294)
= Exp(4.2376)
= $69.24

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 568.88% per annum.
  • WFC price at the close of November 19, 2024 was inside the secondary price channel.