Python Machine Learning Blueprints - Second Edition

Baseline IPO strategy

Let's now suppose that we bought one share of every IPO at the exact opening tick and sold them at the precise closing price listed in these figures; what would our returns look like in terms of dollars earned?

To answer this question, let's look at the actual dollar price change from open to close:

df['1st Day Open to Close $ Chg'] = (df['1st Day Close'] - df['Opening Price']) 
 
df[df['Year']==2018].sum() 

The preceding code generates the following output:

From this, we see the first day open-to-close dollar total is just above $28. That number is for over 173 IPOs so far in 2018:

df[df['Year']==2018]['1st Day Open to ...