Rating Prediction is a task of aiming to forecast a user’s rating for those items which are not rated by them. Existing approaches of collaborative filtering method can neither handle large datasets or deal with user’s who have not given rating to a particular item which leads to data sparsity problem .To subdue the problem of data sparsity, In this paper , they have carried out a hybrid method which is a combination of recommendation algorithm named Stacked Sparse Auto encoder(SSAREC) and Matrix Factorization method for Rating prediction.