Abstract

The issue of forecasting the stock prices of the companies attending the stock exchange market is a very important problem for investors. The ability of forecasting stock prices would enable them to choose the best investment basket leading to high benefits. In this paper, we intend to forecast the price of stocks of the major Iranian petrochemical companies. For this purpose, the regression models are used. There are some important independent variables which play a key role in determining the prices of these companies. The models are run in the software E-views. This paper discusses choosing best decision between one or more of petroleum companies for beneficiary business markets and how it would be applicable and effective on making decision on stock investment.

Key words: Stock price, forecasting, optimization, price budget assignment.