Journal of Business Studies and Management Review
Vol. 5 No. 2 (2022): JBSMR, Vol. 5 No.2, June 2022

THE INFLUENCE OF FINANCIAL RATIOS TOWARD STOCK PRICE OF PHARMACEUTICAL COMPANIES IN INDONESIA

Afri Yeni Lubis (Business School, President University)
Purwanto Purwanto (President University)



Article Info

Publish Date
08 Jul 2022

Abstract

The research objectives to examine the influence of current ratio, debt to equity ratio, return on equity, total asset turnover ratio, and earnings per share on stock price with an additional price-earnings ratio as moderating variable of current ratio, debt to equity, and earning per share of pharmaceutical companies listed in Indonesia Stock Exchange. The quantitative research is applied through data from the financial reports among six samples of pharmaceutical companies from 2009-2020 with the analytical tool EViews 10, with other supporting tests such as descriptive statistical analysis, classical assumption, multiple linear regression, and hypothesis testing. The use of multiple linear regression on panel data bolsters to choice of the Fixed Effect Model technique. The results depict a value of adjusted R-square of dependent variables by 64.38%, which CR, DER, TATO, and EPS significantly influence the stock price. Meanwhile, PER does not moderate EPS impact on stock price, yet, moderates CR and DER effect on the stock price.

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Journal Info

Abbrev

jbsmr

Publisher

Subject

Decision Sciences, Operations Research & Management Social Sciences

Description

The aim of the Journal of Business Studies and Management Review (JBSMR)  is to be a unique journal in its provision of extraordinary services like quick and professional correspondence with authors, fair and comprehensive articles’ double-blind peer review, prompt results of reviews by our ...