Abdul Halim
Master of Accounting Universitas Gajayana Malang, Indonesia

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Investment Opportunity Set as Moderation of Return on Assets and Debt to Equity Ratio to Stock Return Eko Cahyo Purwanto; Abdul Halim; Umi Muawanah
Enrichment: Journal of Multidisciplinary Research and Development Vol. 1 No. 7 (2023): Enrichment: Journal of Multidisciplinary Research and Development
Publisher : International Journal Labs

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.55324/enrichment.v1i7.61

Abstract

Stock return is closely related to movements in stock prices and reflects investor responses to information about company conditions. The closing share prices of property and real estate companies listed on the Indonesia Stock Exchange fluctuated during 2020–2022. This study aims to test the effect of ROA on RS, the effect of DER on RS, the influence of IOS on RS, IOS moderating the effect of ROA on RS, and IOS moderating the effect of DER on RS. This research was conducted in property and real estate companies listed on the Indonesia Stock Exchange in 2020–2022, using an explanatory research approach, with purposive sampling techniques obtained by 63 companies. Secondary data are collected by documentation methods in the form of financial statements and analyzed using moderation double linear regression. The results prove that ROA has a positive effect on RS, DER has a significant negative effect on RS, IOS has a significant positive effect on RS, IOS strengthens the influence of ROA on RS, and IOS strengthens the influence of DER on RS. The results imply that companies should consider profitability, financing risk, and investment opportunities, while investors may use ROA, DER, and IOS as information when evaluating stock return.