

Additionally, the frequency distribution will be automatically created using the data analysis feature. Before doing anything, you need to enable the Data Analysis Toolpakin Excel. We will use the same bins to create a histogram in this step. Now, we will make a histogram using our Cisco data. Thus, we will finish creating the frequency distribution in Excel.

Remember, this is an array formula and we are using the Microsoft 365 version of Excel, if you are using an older version, then you will need to pre-select the cell range K8:K15, type the formula, and press CTRL+SHIFT+ENTER.

Firstly, find out the minimum value of the data set by typing this formula in cell J4.Moreover, we have used the named range “CSCO” for the cell range G5:G134. Using these values, we will create bins or intervals to group the data. Additionally, we will also use the MIN and MAX functions to find the minimum and maximum values of that data. In this first step, we will use the FREQUENCY function to calculate the frequency distributions of the Cisco stock return data in Excel. Step 1: Calculating Frequency Distributions Moreover, we will discuss the common shapes of histograms in the later part of this article. Lastly, we will create a histogram using the data analysis feature. Firstly, we will show you how to calculate the frequency distributions in Excel. We’ll walk you through the process of creating frequency distributions and histograms in Excel using Cisco stock return data. Step-by-Step Procedures to Create Stock Return Frequency Distributions and Histograms in Excel Read More: How to Get Stock Prices in Excel (3 Easy Methods)

īefore calculating the return on a stock, let’s review the general rules of building a histogram from a large data set. If you want to add more data points for your analysis, you can visit any website that stores daily stock prices. A data set with 130 data points is not that large, but it is enough for our analysis. There are a total of 130 data points in a column, from March 30, 1990, to December 29, 2000. The leftmost column shows the last working day of the month, and the date starts on March 30, 1990. The stocks are Microsoft, General Electric, Intel Corporation, General Motors, and Cisco. In the image below, you are seeing a total of 4 stocks with their monthly returns. Creating Stock Frequency Distributions and Histograms.xlsxĬreating Histogram Using Stock Returns Data
