Journal of Economics Research and Policy Studies
Vol. 4 No. 3 (2024): Journal of Economics Research and Policy Studies

Examining the impact of financial ratios on stock prices of large banks listed on the Indonesia stock exchange

Gunawan, Riki (Unknown)
Hasanah, Lak lak Nazhat El (Unknown)



Article Info

Publish Date
31 Dec 2024

Abstract

This research aims to determine the effect of financial ratios on the stock prices of big banks listed on the Indonesia Stock Exchange in 2013-2022. The financial ratios used in this study are Capital Adequacy Ratio (CAR), Net Interest Margin (NIM), Return on Equity (ROE), Operating Costs Operating Income (BOPO), and Bank Indonesia interest rates (BI). The population in this study were banking companies listed on the Indonesia Stock Exchange during 2013-2022. The research sample was 12 banking companies obtained using purposive sampling techniques. The data collected were taken from the OJK, BPS, and BEI websites. The method in this study uses quantitative data analysis. The results of the study show that simultaneously the variables CAR, NIM, ROE, BOPO, and Bank Indonesia interest rates affect stock prices. Partially, the variables NIM, ROE, BOPO, and Bank Indonesia interest rates have a negative effect on stock prices, while the CAR variable does not affect stock prices.

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Journal Info

Abbrev

jerps

Publisher

Subject

Economics, Econometrics & Finance

Description

Journal of Economics Research and Policy Studies [2797-8141] is a scientific journal that contains the results of theoretical research and studies on economics issues. The focus of this journal article is Economics, Economic Entrepreneurship, and start-up, development economics, monetary and fiscal ...