IPO Performance Prediction During Covid-19 Pandemic in Indonesia Using Decision Tree Algorithm
The purpose of this study was to explain the IPO underpricing phenomenon and to find out whether the decision tree algorithm model was able to predict the IPO performance during the Covid-19 pandemic in the Indonesian capital market. The model developed uses the IPO performance classification target...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
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Universitas Merdeka Malang
2021-01-01
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| Series: | Jurnal Keuangan dan Perbankan |
| Subjects: | |
| Online Access: | https://jurnal.unmer.ac.id/index.php/jkdp/article/view/5137 |
| _version_ | 1819060488998223872 |
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| author | Arianto Muditomo Ajar Susanto Broto |
| author_facet | Arianto Muditomo Ajar Susanto Broto |
| author_sort | Arianto Muditomo |
| collection | DOAJ |
| description | The purpose of this study was to explain the IPO underpricing phenomenon and to find out whether the decision tree algorithm model was able to predict the IPO performance during the Covid-19 pandemic in the Indonesian capital market. The model developed uses the IPO performance classification target variables, namely overpricing, zero, underpricing level-1 or underpricing level-2. Through the modeling of the decision tree algorithm using 149 IPO action data for 2017-2019 and tested on 45 IPO action data in 2020, the results of the study found that the decision tree algorithm was able to explain IPO performance based on the specified classification range. The use of the decision tree algorithm model to explain the IPO performance can be an alternative to the linear regression econometric model that has been widely used in previous studies to provide input for investors in making investment decisions.
DOI: https://doi.org/10.26905/jkdp.v25i1.5137 |
| first_indexed | 2024-12-21T14:27:48Z |
| format | Article |
| id | doaj.art-8de355498fe545bda503400d24a01144 |
| institution | Directory Open Access Journal |
| issn | 1410-8089 2443-2687 |
| language | English |
| last_indexed | 2024-12-21T14:27:48Z |
| publishDate | 2021-01-01 |
| publisher | Universitas Merdeka Malang |
| record_format | Article |
| series | Jurnal Keuangan dan Perbankan |
| spelling | doaj.art-8de355498fe545bda503400d24a011442022-12-21T19:00:35ZengUniversitas Merdeka MalangJurnal Keuangan dan Perbankan1410-80892443-26872021-01-0125113214310.26905/jkdp.v25i1.51372459IPO Performance Prediction During Covid-19 Pandemic in Indonesia Using Decision Tree AlgorithmArianto Muditomo0Ajar Susanto Broto1School of Business, IPB UniversitySchool of Business, IPB UniversityThe purpose of this study was to explain the IPO underpricing phenomenon and to find out whether the decision tree algorithm model was able to predict the IPO performance during the Covid-19 pandemic in the Indonesian capital market. The model developed uses the IPO performance classification target variables, namely overpricing, zero, underpricing level-1 or underpricing level-2. Through the modeling of the decision tree algorithm using 149 IPO action data for 2017-2019 and tested on 45 IPO action data in 2020, the results of the study found that the decision tree algorithm was able to explain IPO performance based on the specified classification range. The use of the decision tree algorithm model to explain the IPO performance can be an alternative to the linear regression econometric model that has been widely used in previous studies to provide input for investors in making investment decisions. DOI: https://doi.org/10.26905/jkdp.v25i1.5137https://jurnal.unmer.ac.id/index.php/jkdp/article/view/5137covid-19decision treeindonesia, ipo underpricing |
| spellingShingle | Arianto Muditomo Ajar Susanto Broto IPO Performance Prediction During Covid-19 Pandemic in Indonesia Using Decision Tree Algorithm Jurnal Keuangan dan Perbankan covid-19 decision tree indonesia, ipo underpricing |
| title | IPO Performance Prediction During Covid-19 Pandemic in Indonesia Using Decision Tree Algorithm |
| title_full | IPO Performance Prediction During Covid-19 Pandemic in Indonesia Using Decision Tree Algorithm |
| title_fullStr | IPO Performance Prediction During Covid-19 Pandemic in Indonesia Using Decision Tree Algorithm |
| title_full_unstemmed | IPO Performance Prediction During Covid-19 Pandemic in Indonesia Using Decision Tree Algorithm |
| title_short | IPO Performance Prediction During Covid-19 Pandemic in Indonesia Using Decision Tree Algorithm |
| title_sort | ipo performance prediction during covid 19 pandemic in indonesia using decision tree algorithm |
| topic | covid-19 decision tree indonesia, ipo underpricing |
| url | https://jurnal.unmer.ac.id/index.php/jkdp/article/view/5137 |
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