Understanding the pattern of financial activities and predicting their development and changes are research hotspots in academic and financial circles. Because financial data contain complex, incomplete and fuzzy information, predicting their development trends is an extremely difficult challenge. Fluctuations in financial data depend on a myriad of correlated constantly changing factors. Therefore, predicting and analysing financial data are a nonlinear, time-dependent problem. Deep neural networks (DNNs) combine the advantages of deep learning (DL) and neural networks and can be used to solve nonlinear problems more satisfactorily compared to conventional machine learning algorithms. We evaluate 3M India Limited prediction models with Modular Neural Network (Market Volatility Analysis) and Lasso Regression1,2,3,4 and conclude that the NSE 3MINDIA stock is predictable in the short/long term. According to price forecasts for (n+1 year) period: The dominant strategy among neural network is to Hold NSE 3MINDIA stock.
Keywords: NSE 3MINDIA, 3M India Limited, stock forecast, machine learning based prediction, risk rating, buy-sell behaviour, stock analysis, target price analysis, options and futures.
Key Points
- What are the most successful trading algorithms?
- Short/Long Term Stocks
- Understanding Buy, Sell, and Hold Ratings
NSE 3MINDIA Target Price Prediction Modeling Methodology
Efficient Market Hypothesis (EMH) is the cornerstone of the modern financial theory and it states that it is impossible to predict the price of any stock using any trend, fundamental or technical analysis. Stock trading is one of the most important activities in the world of finance. Stock price prediction has been an age-old problem and many researchers from academia and business have tried to solve it using many techniques ranging from basic statistics to machine learning using relevant information such as news sentiment and historical prices. We consider 3M India Limited Stock Decision Process with Lasso Regression where A is the set of discrete actions of NSE 3MINDIA stock holders, F is the set of discrete states, P : S × F × S → R is the transition probability distribution, R : S × F → R is the reaction function, and γ ∈ [0, 1] is a move factor for expectation.1,2,3,4
F(Lasso Regression)5,6,7= X R(Modular Neural Network (Market Volatility Analysis)) X S(n):→ (n+1 year)
n:Time series to forecast
p:Price signals of NSE 3MINDIA stock
j:Nash equilibria
k:Dominated move
a:Best response for target price
For further technical information as per how our model work we invite you to visit the article below:
How do AC Investment Research machine learning (predictive) algorithms actually work?
NSE 3MINDIA Stock Forecast (Buy or Sell) for (n+1 year)
Sample Set: Neural NetworkStock/Index: NSE 3MINDIA 3M India Limited
Time series to forecast n: 28 Sep 2022 for (n+1 year)
According to price forecasts for (n+1 year) period: The dominant strategy among neural network is to Hold NSE 3MINDIA stock.
X axis: *Likelihood% (The higher the percentage value, the more likely the event will occur.)
Y axis: *Potential Impact% (The higher the percentage value, the more likely the price will deviate.)
Z axis (Yellow to Green): *Technical Analysis%
Conclusions
3M India Limited assigned short-term Ba3 & long-term Baa2 forecasted stock rating. We evaluate the prediction models Modular Neural Network (Market Volatility Analysis) with Lasso Regression1,2,3,4 and conclude that the NSE 3MINDIA stock is predictable in the short/long term. According to price forecasts for (n+1 year) period: The dominant strategy among neural network is to Hold NSE 3MINDIA stock.
Financial State Forecast for NSE 3MINDIA Stock Options & Futures
| Rating | Short-Term | Long-Term Senior |
|---|---|---|
| Outlook* | Ba3 | Baa2 |
| Operational Risk | 52 | 90 |
| Market Risk | 40 | 85 |
| Technical Analysis | 77 | 81 |
| Fundamental Analysis | 87 | 36 |
| Risk Unsystematic | 76 | 73 |
Prediction Confidence Score
References
- M. Sobel. The variance of discounted Markov decision processes. Applied Probability, pages 794–802, 1982
- Dudik M, Langford J, Li L. 2011. Doubly robust policy evaluation and learning. In Proceedings of the 28th International Conference on Machine Learning, pp. 1097–104. La Jolla, CA: Int. Mach. Learn. Soc.
- C. Szepesvári. Algorithms for Reinforcement Learning. Synthesis Lectures on Artificial Intelligence and Machine Learning. Morgan & Claypool Publishers, 2010
- Armstrong, J. S. M. C. Grohman (1972), "A comparative study of methods for long-range market forecasting," Management Science, 19, 211–221.
- R. Howard and J. Matheson. Risk sensitive Markov decision processes. Management Science, 18(7):356– 369, 1972
- Brailsford, T.J. R.W. Faff (1996), "An evaluation of volatility forecasting techniques," Journal of Banking Finance, 20, 419–438.
- Bewley, R. M. Yang (1998), "On the size and power of system tests for cointegration," Review of Economics and Statistics, 80, 675–679.
Frequently Asked Questions
Q: What is the prediction methodology for NSE 3MINDIA stock?A: NSE 3MINDIA stock prediction methodology: We evaluate the prediction models Modular Neural Network (Market Volatility Analysis) and Lasso Regression
Q: Is NSE 3MINDIA stock a buy or sell?
A: The dominant strategy among neural network is to Hold NSE 3MINDIA Stock.
Q: Is 3M India Limited stock a good investment?
A: The consensus rating for 3M India Limited is Hold and assigned short-term Ba3 & long-term Baa2 forecasted stock rating.
Q: What is the consensus rating of NSE 3MINDIA stock?
A: The consensus rating for NSE 3MINDIA is Hold.
Q: What is the prediction period for NSE 3MINDIA stock?
A: The prediction period for NSE 3MINDIA is (n+1 year)