Plotting cash flow ratios
Sometimes, you might want to plot several line plots in one image. However, having too many lines in one plot will make it challenging to read. Making separate facets for every line is more elegant: the figure will look neat and more interpretable.
A pandas DataFrame plot_df
has already been loaded for you. It has the columns "Year"
, "company"
,"cash_flow_to_net_income"
and "operating_cash_flow"
. Seaborn has been loaded with the alias sns
.
This exercise is part of the course
Analyzing Financial Statements in Python
Exercise instructions
- Melt
plot_df
to prepare it for plotting. - Use
sns.relplot()
to make a line plot of the cash flow to net income and operating cash flow ratio of Apple and Microsoft over time, withhue
over the dimension of"Ratio"
.
Hands-on interactive exercise
Have a go at this exercise by completing this sample code.
# Melt the DataFrame to prepare for plotting
melt_data = plot_df.melt(____, var_name="Ratio")
# Plot your melted DataFrame
sns.relplot(data=____, x=____, y=____, col=____, kind=____, hue=____)
plt.show()