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Forecasting Stock Prices of Companies Producing Solar Panels Using Machine Learning Methods

Author

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  • Zaffar A. Shaikh
  • Andrey Kraikin
  • Alexey Mikhaylov
  • Gabor Pinter
  • Chittaranjan Hens

Abstract

Solar energy has become an integral part of the economy of developed countries, so it is important to monitor the pace of its development, prospects, as well as the largest companies that produce solar panels since the supply of solar energy in a particular country directly depends on them. The study analyzes the shares of Canadian Solar Inc. and First Solar Inc. The purpose of the study is to study the possibility of forecasting the stock price of solar energy companies using neural networks for the purpose of subsequent investment. The recurrent neural network LSTM is used in the article and this approach is based on complexity theory. Machine learning technologies are now being actively implemented in various sectors of the economy and are considered effective. The program used assigns different significance to the data of the last months and the data for the first months of the 1st year. The first year of the last 5 years of the company’s activity is taken as the first year since more distant data no longer have significant significance for the forecast. In the course of the study, a forecast of the stock price of Canadian Solar Inc. and First Solar Inc. for 245 days was obtained. Based on the results obtained, the following conclusions were made: 20 neurons of the network is not enough to make an accurate forecast, but the level of confidence in such a forecast is high enough, neural network forecasts are applicable in investing and are accurate enough to determine medium- and long-term trends, but these forecasts are not applicable for traders. The direction of improving the accuracy of neural network predictions is promising for further research.

Suggested Citation

  • Zaffar A. Shaikh & Andrey Kraikin & Alexey Mikhaylov & Gabor Pinter & Chittaranjan Hens, 2022. "Forecasting Stock Prices of Companies Producing Solar Panels Using Machine Learning Methods," Complexity, Hindawi, vol. 2022, pages 1-9, October.
  • Handle: RePEc:hin:complx:9186265
    DOI: 10.1155/2022/9186265
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    Cited by:

    1. Nikita Moiseev & Alexey Mikhaylov & Hasan Dinçer & Serhat Yüksel, 2023. "Market capitalization shock effects on open innovation models in e-commerce: golden cut q-rung orthopair fuzzy multicriteria decision-making analysis," Financial Innovation, Springer;Southwestern University of Finance and Economics, vol. 9(1), pages 1-25, December.

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