Engineering Alpha

Engineering Alpha

Forecasting with SARIMAX: What It Is and Why It Matters

Code a Simple Prediction Algorithm in Python

Sofien Kaabar, CFA's avatar
Sofien Kaabar, CFA
Feb 27, 2026
∙ Paid

ARIMA models are a common go-to for this. They’re statistically rigorous, relatively easy to use, and effective for univariate time series with consistent patterns. But real-world data isn’t always that cooperative. It often comes with seasonality, external influences (like holidays, marketing campaigns, or macroeconomic trends), and irregularities that…

User's avatar

Continue reading this post for free, courtesy of Sofien Kaabar, CFA.

Or purchase a paid subscription.
© 2026 Sofien Kaabar · Privacy ∙ Terms ∙ Collection notice
Start your SubstackGet the app
Substack is the home for great culture