Jurnal Analisis Bisnis Ekonomi
Vol 20 No 2 (2022): July-December

Market Capitalisation and Financial Performance: Evidence from Banking Listed Company in Indonesia

Anita Roosmawarni (Universitas Muhammadiyah Surabaya, Indonesia)
Didin Fatihudin (Universitas Muhammadiyah Surabaya, Indonesia)
Nurullaili Mauliddah (Universitas Muhammadiyah Surabaya, Indonesia)



Article Info

Publish Date
15 Jan 2023

Abstract

Market capitalization is a vital performance tool for the banking companies, the current profit and the future earnings of the banks also have an important impact on the market capitalization of the banks. This study aimed to determine Return on Equity effect, Capital Adequacy Ratio, Non Performing Loan and Firm Size on the banking sectors market capitalization listed on the Indonesia Stock Exchange 2010-2020. This research method used multiple linear regression analysis with data processing using the tools Stata 15 program. The sampling method of this research used a purposive sampling technique. The F-test results showed that simultaneously Return on Equity, Capital Adequacy Ratio, Non Performing Loan, and Firm Size had a significant effect on market capitalization with a significance value of 0,0%. The test results with the t-test show that Capital Adequacy Ratio and Firm Size has a significant positive effect on market capitalization with a significance level less than 0,0%.

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Journal Info

Abbrev

bisnisekonomi

Publisher

Subject

Economics, Econometrics & Finance

Description

urnal Analisis Bisnis Ekonomi is a journal published by the Faculty of Economics and Business, Universitas Muhammadiyah Magelang, published twice a year in April and October. The publication of this journal is intended as a medium of information exchange and scientific work between faculty, alumni, ...