Stock Price Trends

Cactus Inc (WHD)

Cactus, Inc. designs, manufactures, sells, and leases a variety of wellheads and pressure control equipment in the United States. The company is headquartered in Houston, Texas.

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 61.45% per annum.
  • WHD price at the close of November 22, 2024 was $68.99 and was inside the primary price channel.
  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 692.49% per annum.
  • WHD price at the close of November 22, 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 WHD 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: November 16, 2023
End date: November 22, 2024

a = 1.7843

b = 0.0013

s = 0.0497

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0013) – 1
= 61.45%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0497) – 1
= 21.97%

November 16, 2023 calculations

Top border of price channel:

Exp(Y1,001)
= Exp(a + b × X1,001 + 2 × s)
= Exp(a + b × 1,452 + 2 × s)
= Exp(1.7843 + 0.0013 × 1,452 + 2 × 0.0497)
= Exp(3.7892)
= $44.22

Bottom border of price channel:

Exp(Y1,001)
= Exp(a + b × X1,001 – 2 × s)
= Exp(a + b × 1,452 – 2 × s)
= Exp(1.7843 + 0.0013 × 1,452 – 2 × 0.0497)
= Exp(3.5905)
= $36.25

November 22, 2024 calculations

Top border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 + 2 × s)
= Exp(a + b × 1,824 + 2 × s)
= Exp(1.7843 + 0.0013 × 1,824 + 2 × 0.0497)
= Exp(4.2773)
= $72.05

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,824 – 2 × s)
= Exp(1.7843 + 0.0013 × 1,824 – 2 × 0.0497)
= Exp(4.0787)
= $59.07

Description

  • The primary trend is increasing.
  • The growth rate of the primary trend is 61.45% per annum.
  • WHD price at the close of November 22, 2024 was $68.99 and was inside the primary price channel.

Secondary Trend

Start date: October 22, 2024
End date: November 22, 2024

a = -6.1118

b = 0.0057

s = 0.0384

Annual growth rate:

Exp(365 × b) – 1
= Exp(365 × 0.0057) – 1
= 692.49%

Price channel spread:

Exp(4 × s) – 1
= Exp(4 × 0.0384) – 1
= 16.61%

October 22, 2024 calculations

Top border of price channel:

Exp(Y1,234)
= Exp(a + b × X1,234 + 2 × s)
= Exp(a + b × 1,793 + 2 × s)
= Exp(-6.1118 + 0.0057 × 1,793 + 2 × 0.0384)
= Exp(4.1336)
= $62.40

Bottom border of price channel:

Exp(Y1,234)
= Exp(a + b × X1,234 – 2 × s)
= Exp(a + b × 1,793 – 2 × s)
= Exp(-6.1118 + 0.0057 × 1,793 – 2 × 0.0384)
= Exp(3.9799)
= $53.51

November 22, 2024 calculations

Top border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 + 2 × s)
= Exp(a + b × 1,824 + 2 × s)
= Exp(-6.1118 + 0.0057 × 1,824 + 2 × 0.0384)
= Exp(4.3094)
= $74.40

Bottom border of price channel:

Exp(Y1,257)
= Exp(a + b × X1,257 – 2 × s)
= Exp(a + b × 1,824 – 2 × s)
= Exp(-6.1118 + 0.0057 × 1,824 – 2 × 0.0384)
= Exp(4.1557)
= $63.80

Description

  • The secondary trend is increasing.
  • The growth rate of the secondary trend is 692.49% per annum.
  • WHD price at the close of November 22, 2024 was inside the secondary price channel.