Stock Analysis Based on Trends in Crude Oil Prices

EasyChair Preprint no. 7117

Abstract

Analyzing stock prices is a key component of financial analysis of a company. Traditional stock price forecasting methods model historical price data by considering Open, High, Low, Close (OHLC) values to analyze performance of companies across various sectors such as oil refineries and logistics, for example. This approach likely misses the impact of certain critical driving factors, such as crude oil, on the company, whereas in practice, crude oil would play a major role in the performance of oil- refineries and logistics companies. This paper focuses on the inclusion of crude oil data in the analysis and its impact on forecasting. Patterns in the trends of oil prices would also have an impact on the performance of various other industries. This study would particularly help long term investors understand how the performance trends of a company would fluctuate based on the industry it belongs to. We present a few insights on analyzing company stock price trends for different industries as a function of oil price trends.

Keyphrases: ARIMAX, crude oil, LSTM, Multivariate Forecasting, SVM, trend analysis

@Booklet{EasyChair:7117,
  author = {Prudhvi Raj Patnala and Nishant Ravi Shankar and Abhishikta Sai and Gowri Srinivasa},
  title = {Stock Analysis Based on Trends in Crude Oil Prices},
  howpublished = {EasyChair Preprint no. 7117},

  year = {EasyChair, 2021}}