Abstract

The dynamic and unpredictable nature of stock prices makes accurate forecasting an important challenge in financial analysis. This study aims to compare the performance of three deep learning models, namely, Recurrent Neural Network (RNN), Gated Recurrent Unit (GRU), and Long Short-Term Memory (LSTM) in predicting stock prices on historical daily banking data from Yahoo Finance. The main objective is to determine the model that is best able to capture sequential patterns and temporal dependencies in stock price movements. Each model was trained and op-timized through data scaling, namely MinMax Scaler and Standard Scaler, with performance evaluated using Root Mean Square Error (RMSE) as the primary metric. Results show that while the RNN provides a basic approach, the GRU and LSTM models produce higher prediction accuracy, with GRU achieving the lowest RMSE thanks to its better ability to maintain long-term depend-encies. The RMSE achieved by RNN, GRU, and LSTM were 211.47, 158.89, and 197.45, respectively. The lowest error results were achieved when using MinMax Scaler. The use of MinMax Scaler here shows a better performance improvement with an average improvement of 22.57% compared to using Standard Scaler. This comparative analysis contributes to providing empirical insight into the relative effectiveness of the tested architectures. The findings suggest that the combination of GRU and MinMax Scaler can be a more reliable tool for financial forecasting, with the potential to develop more robust stock prediction applications under fluctuating market conditions.

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