I've been looking at TEVA stock. I currently own 60 shares and may buy a ton more if the info on google is the mean share price because of mean regression and the fact that TEVA is the world largest maker of generic drugs.
Here's what I'm saying. If you type TEVA stock on google and hit the max chart button it shows the high as $69.02/share in 2015 and the low as $0.08/share in 1984 with the average for all available data being $19.23/share.
My question is as follows: Can the $19.23/share price be considered the arithmetic or geometric mean of the price? If so wouldn't TEVA be a buy because of mean regression? Because the price will eventually revert back to $19.23/share resulting in a $11.74/share capital gain assuming the investor sells when the stock fully reverts back to the mean price?
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