Article Per Year (5 Year)
p-Index From 2020 - 2025
1.116
P-Index
This Author published in this journals
All Journal Journal of Economics, Business, & Accountancy Ventura Abiwara : Jurnal Vokasi Administrasi Bisnis Perbanas Journal of Islamic Economics and Business The Es Accounting and Finance Bisma : Business and Management Journal JAMBIS : Jurnal Administrasi Bisnis
Ritha, Henny
Unknown Affiliation
Religion Humanities Decision Sciences, Operations Research & Management Economics, Econometrics & Finance Social Sciences

Published : 7 Documents Claim Missing Document
Claim Missing Document
Check
Articles

Found 1 Documents
Search
Journal : Perbanas Journal of Islamic Economics and Business

 1 
Profitability & Leverage as Determinants of The Price to Book Value of Companies Listed on Jakarta Islamic Index Iqbal, Muhammad; Kaban, Reny Fitriana; Ritha, Henny
Perbanas Journal of Islamic Economics and Business Vol 5 No 1 (2025): Perbanas Journal of Islamic Economics and Business
Publisher : Institut Keuangan-Perbankan Dan Informatika Asia Perbanas

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.56174/pjieb.v5i1.289

Abstract

A steady increase in the stock market price reflects the maximization of corporate value. The Price to Book Value ratio serves as a metric for assessing the growth in a company's value. Profitability and leverage policies are just two of the several aspects that influence the company's overall value. This study aims to evaluate the impact of financial ratios, specifically profitability as measured by Return on Equity and leverage indicated by the Debt to Equity Ratio, on the Price to Book Value of companies listed on the Jakarta Islamic Index between 2018 and 2023, during which time the Covid 19 Pandemic occurred. This study distinguishes itself from previous research through its methodological approach. The research utilized a descriptive and quantitative methodology. Additionally, the sample for this study was selected using a purposive sampling with eleven firms that are consistently listed on the Jakarta Islamic Index for the timeframe 2018-2023. This research employs panel data regression as its analytical approach. The findings from the statistical tests reveal that the Profitability Ratio significantly affects the Price to Book Value, whereas the Leverage Ratio does not exhibit a notable impact. This suggests that while Profitability plays a crucial role, Leverage does not. It is recommended that Issuers consistently strive to sustain or enhance profitability under all circumstances, which would contribute to an increase in the company's overall value to face unexpected events such as Covid 19, businesses must examine both capital and debt financing to maintain the trust of shareholders and other stakeholders.
Co-Authors ENDRI ENDRI Fardiman, Fardiman Laela Lanjarsih Muhammad Iqbal Nugraha Malik, Muhammad Poppy, Ribka Puji Hadiyati Ratna, Primadonna Sari, Regita Fatikah Sri Wulandari Swastika, Endang Taurusianingsih, Dyah Nirmalawati Trinandari Prasetya Nugrahanti