In this recipe, we have shown how to simulate stock prices using Geometric Brownian Motion. However, there are other stochastic processes that could be used as well, some of which are:

• Jump-diffusion model: Merton, Robert (1976): Option Pricing When the Underlying Stock Returns Are Discontinuous. Journal of Financial Economics, Vol. 3, No. 3, pp. 125–144.
• Square-root diffusion model: Cox, John, Jonathan Ingersoll, and Stephen Ross (1985): A Theory of the Term Structure of Interest Rates. Econometrica, Vol. 53, No. 2, pp. 385–407.
• Stochastic volatility model: Heston, S. L. (1993). A closed-form solution for options with stochastic volatility with applications to bond and currency options. The review of financial studies, 6(2), 327-343.