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Journal : Advances in Management

Examining Linkage Factors in Stock Prices Ajeng, Putri; Suun, Muhammad; Subhan, Subhan
Advances in Management & Financial Reporting Vol. 1 No. 2 (2023): February - May
Publisher : Yayasan Pendidikan Bukhari Dwi Muslim

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.60079/amfr.v1i2.118

Abstract

Purpose: This study examines the influence of Return on Assets (ROA), Return on Equity (ROE), Net Profit Margin (NPM), and Earnings per Share (EPS) on the stock prices of companies included in the LQ45 index and listed on the Indonesia Stock Exchange during the 2019-2021 period. The research hypothesizes that each of these financial metrics has a significant impact on stock prices. Research Design and Methodology: The research adopts a quantitative approach, utilizing secondary data from company financial reports on the Indonesia Stock Exchange website. The sample, comprising ten issuers, was selected using purposive sampling. The analysis was conducted using the Statistical Product and Service Solutions (SPSS 26) software to assess the relationships between the independent variables (ROA, ROE, NPM, EPS) and the dependent variable (stock prices). Findings and Discussion: The findings reveal that ROA and NPM positively and significantly impact stock prices, indicating that companies with higher returns on assets and profit margins are likely to experience increases in their stock prices. Conversely, ROE has a negative and significant effect on stock prices, suggesting that higher returns on equity may not always align with higher stock prices. Additionally, EPS has a positive and significant effect on stock prices, highlighting its importance as a profitability measure for investors. Implications: These results have practical implications for investors and company management, suggesting that improving ROA, NPM, and EPS can positively influence stock prices. However, the negative relationship between ROE and stock prices warrants further investigation. Future research should explore the underlying reasons for this inverse relationship and consider additional variables that may impact stock price movements.
Co-Authors A Arwan Aan Supian, Aan Abas Oya Abdul Kohar Abdul Rahman Abdullah, Hasyimi Abu Zinah, Mansur Muhammad Achmad, Hamzah Adi Imam Wahyudi Adiansyah, Adi Agung Ginanjar Anjaniputra Agus Mega Saputra , Gde Agussabti Agussabti Ajeng, Putri Alawiyyah, Azizah Albert Alfikri Amadhan Takwir Amrin Amrin Amrullah, Baso Andang Sunarto Aninditia Sabdaningsih AR Pelu, Muhammad Faisal Arbi Mei Gitarama, Arbi Mei Arifin, Fajar Arisandi, Nabila Dea Asmi, Ulul Asnaini Asnaini, Asnaini Asriyana, . Aulia, Ismi Fitri Badriyah, Jamilatul Bakri, Asriady Baru Sadarun Basalamah, Salim Betutu Senggagau, Betutu Damanhuri Damayanti, Dela Rista Darusman, Mhd. Ricky Dedi Sunardi Digbun, Limpu I. Dimas, Dimas Disnawati Disnawati edy susanto Eko Harianto, Eko Fadjar Noer Dzaman Putra Metha, Muh Faisal Faisal Farida, Eka Fathorrahman Fathorrahman, Fathorrahman Fatma Hetami Fauzan . Finawan, Aidi Firdaus, M. Arya Fuad Rahman Ghufron, Zaki Gunawan, Rolly Hakim, M. Faris Al Hamzah Hamzah Hapsyah, Ayu Siti Hardiana, Hardiana Haris Al-Muridhillah, Sultan Hartono, Rudi Hasaniyah, Alfi Hayati, Siti Rahmah Heriansyah Hermawansyah, Hermawansyah Hidayanti, Ida E. Husein, Muhammad Ahmi Ibrahim Ibrahim Ika Sartika ILHAM DJUFRI Ilyas Ilyas Ira Ira, Ira Isnah, Isnah Johri Sabaryati, Johri Joyo, Harisman Jumanto Jumanto, Jumanto Junaidi Junaidi Jupri Jupri Kamariah Hasis, Pertiwi Karjuniwati, Karjuniwati Karmin, Rhomariotha Chabeyrumania Bin Keumala, Syafia Aisyah Khoirunnurfauzan, M. Raka Alfansyah Kolibongso, Duaitd Kresnasari, Dewi Kurnia Putra, Nanda Kurnia, Wahyu Kusmiati, Eti La Ode Abdul Rajab Nadia La Ode Alirman Afu, La Ode Alirman La Ode M. Yasir Haya, La Ode M. Lannai , Darwis Lateh, Musammil Latifa Fekri Latuperissa, Debby Lawelle, Sjamsu Alam Listya Ningtiyas, Hastanti Loilatu, Bihima Maghfirah, Wina Maimun Maimun Manja Meyky Bond, Manja Meyky Marwan Marwan Masuwd, Mowafg Misnawati Misnawati Mohammad Faris, Mohammad Mufrodi Mufrodi, Mufrodi Muhammad Arsyad Muhammad Fajar Purnama Muhammad Idris Muhammad Iksan Hatma Muhammad Muhammad Muhammad Ramli Muhammad Thaib Hasan Muhammad Trial Fiar Erawan Muharram, Mahatir Munawar Khalil Munir Yusuf, Munir Muslim Muslim Afandi Muslimah Muslimah Musni, La Ode Mustanir Mustanir Muvida Muvida N, Panggabean Sylvia Nadia, La Ode Abdul Rajab Nasrulloh, Yufii M Nasser, Rahmawati Ningsih, Nurwidia Nirsantuni, Baiq Nono Sutrisno Noviyanti, Shobihatul Fitroh NUR AENI Nur Amelia, Riska Nur Hidayati Nurhayati, Naimila Nuru Ramadhani, Salsabila Pangerang, Utama K Pelu, M Faisal A R Permana, Beny Pramukti, Andika Prasetyo, Dito Pratikino, A. Ginong Putri, Devi lestari Pramita Putri, Iin Karmila Rahmadani Rahmadani Rahman, Arwan Arif rahmawati, Eli Rahmawati Rahmayani, Putri Rakainsa, Senda Kartika Ramadan, Yusril Muh Retnosari Retnosari, Retnosari Rika Syahadatina Riza Arifudin Rizal, Chairul Rohmah, Sasqia Rohman, Aria Fatur Rohmatunisa, Putri Rahayu Rukmana, Alvi Rumra, M. Yamin Ruslaini Ruslaini Rusman, Rizal Sabani, Fatmaridah Sabilu, Kadir Safrilsyah Safrilsyah Sainul, Salmila Salahudin Salahudin Salam, Nur Aini Salsabila, Nabil Salwiyah Salwiyah Salwiyah, Salwiyah Sam'an, Muhammad Saridewi, Fiqra Sarini Yusuf Sauri , Sopiyan Sitti Patimah Slamet Budi Prayitno Suhendi, Fika Dita Suhendra Suhendra Suud, Fitriah M. Suun, Muhammad Syahadatina, Rika Syarif, Deny Lukman Syuhada, Muhammad Nadhif Taufiqqurrahman, Taufiqqurrahman Taupan, Taupan Tenriabeng, Indri Maharani Thongkaew, Krishna Ulfiandi, Ihsan Zikri Ummi Wahyuni Vebrianto, Rian Wahyudi, Jarot Wahyuni Munir, Nur Wahyuni, Ummi Warsandi, Ishaq Wicaksono, Suntoro Widaningsih, Fitri Widhihastuti, Endah Wijaya, Anung Yahya Nur Ifriza YANTO YAKSEB Yassir Yassir Yovita Yovita Yuslan, Yuslan Yusoff, Mohd. Zailani Mohd. Zulfikar Zulfikar Zulkarnain, Zulkarnain