Advances in Economics, Management and Political Sciences

- The Open Access Proceedings Series for Conferences


Proceedings of the 2nd International Conference on Financial Technology and Business Analysis

Series Vol. 45 , 01 December 2023


Open Access | Article

Comparison of Decision Tree Regression with Linear Regression Based on Prediction of Apple Stock Price

Zongze Li * 1
1 Beijing University of Chemical Technology

* Author to whom correspondence should be addressed.

Advances in Economics, Management and Political Sciences, Vol. 45, 62-69
Published 01 December 2023. © 2023 The Author(s). Published by EWA Publishing
This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Citation Zongze Li. Comparison of Decision Tree Regression with Linear Regression Based on Prediction of Apple Stock Price. AEMPS (2023) Vol. 45: 62-69. DOI: 10.54254/2754-1169/45/20230259.

Abstract

Machine learning has been increasingly used in stock price prediction with outstanding success. Decision tree regression models and linear regression models are both important models for predicting stock prices. The paper use decision tree regression and linear regression models to predict the opening price, closing price, high price and low price of Apple's stock price data respectively. The prediction effects of the two models are evaluated by the indicators of goodness of fit, mean square error, root mean square error and mean absolute error, and the prediction effects of the two models are compared. This experimental concludes that the decision tree regression model has better and more advantageous prediction results compared to the linear regression model. This study has guiding significance for machine learning in predicting stock prices when choosing a basic model or a combination of models for prediction.

Keywords

share price forecasting, decision tree regression, linear regression

References

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Data Availability

The datasets used and/or analyzed during the current study will be available from the authors upon reasonable request.

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Volume Title
Proceedings of the 2nd International Conference on Financial Technology and Business Analysis
ISBN (Print)
978-1-83558-137-7
ISBN (Online)
978-1-83558-138-4
Published Date
01 December 2023
Series
Advances in Economics, Management and Political Sciences
ISSN (Print)
2754-1169
ISSN (Online)
2754-1177
DOI
10.54254/2754-1169/45/20230259
Copyright
01 December 2023
Open Access
This article is an open access article distributed under the terms and conditions of the Creative Commons Attribution (CC BY) license, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited

Copyright © 2023 EWA Publishing. Unless Otherwise Stated