Data Analysis for Managerial Decision-Making
The Company we have selected to do our stock analysis is Zillow Inc. (Ticker: ZG)
You may want to gather data (preferably quarterly) over a long period of time (try for 10 years so that you have roughly at least 40 observations).
Please see “QM 717 Fall 2022 Final Project Instructions” for FULL INSTRUCTIONS:
Make sure in the report that you have explained/done all of the following at least once: (All of the below will need to be run in excel through the “Data Analysis” add-in function and will be required to be included as appendices at the end. Also, include the excel file you used as part of submission.
a) R-squared
b) Standard error
c) Multiple regression
d) Explain in simple language what each coefficient tells us (most important step!)
e) Explain the statistical significance of each coefficient
f) Explain if there are any outliers and if there are, test the effect of eliminating them
g) Use the coefficients and your best guess about next quarter’s (1st quarter) right-hand side values to predict the company’s stock price (or change in stock price)
h) Provide the 95% confidence interval for this predicted stock price (i.e., 95% of the time we expect the stock price on Feb. 1st of next year to be between what two values)
