Jurnal Ekonomi
Vol. 12 No. 02 (2023): Jurnal Ekonomi, Perode April - Juni 2023

ANALYSIS OF THE COMPANY'S FINANCIAL PERFORMANCE AFTER CONDUCTING AN INITIAL PUBLIC OFFERING (IPO) AND ITS EFFECT ON STOCK PRICE IN TERMS OF ROA AND ROE (Case Study on Property and Real Estate Companies Listed on the Indonesia Stock Exchange in 2018-2021)

Zachra Athira Khoerunnisa (Widiyatama University, Indonesia)
Aida Wijaya (Widiyatama University, Indonesia)



Article Info

Publish Date
03 Apr 2023

Abstract

Financial statements are an important means for users of financial statements to measure a company’s performance, because a number of ratios can be calculated based on the information in the financial statements. Investors use ROA and ROE ratio information as a measure of a company's performance. This study aims to empirically test the growth of financial performance after conducting an Initial Public Offering. This research uses descriptive quantitative methods. This study used descriptive statistical analysis and multiple linear regression with a sample of 8 property and real estate companies listed on the Indonesia stock exchange in 2018. The result of this study is that the ROA and ROE variables did not experience growth after the Initial Public Offering. The results of the study based on the financial performance reviewed by the ROA did not have a significant effect on the stock price. Meanwhile, reviewed by ROE has a significant positive effect on stock prices. This is indicated by the sig ROA value of (0.086) greater than the signicational level (0.05) and the ROE (0.037) is smaller than the significance level (0.05).

Copyrights © 2023






Journal Info

Abbrev

Ekonomi

Publisher

Subject

Economics, Econometrics & Finance

Description

Jurnal Ekonomi [p. ISSN 2301-6280, e. ISSN 2721-9879] is a peer-reviewed journal published Half times a year (June, and December) by SEAN Institute. Jurnal Ekonomi is intended to be the journal for publishing articles reporting the results of economics research. Jurnal Ekonomi invites manuscripts ...