International Journal Management and Economic (IJME)
Vol. 4 No. 1 (2025): January: International Journal Management and Economic

THE EFFECT OF CURRENT RATIO AND RETURN ON ASSETS ON THE STOCK PRICE OF PT DUTA PERTIWI TBK FOR THE 2013–2023 PERIOD

Agus Supriatna (Fakultas Ekonomi dan Bisnis, Universitas Pamulang)
N Rusnaeni (Fakultas Ekonomi dan Bisnis, Universitas Pamulang)
Tri Wartono (Fakultas Ekonomi dan Bisnis, Universitas Pamulang)



Article Info

Publish Date
05 Jan 2025

Abstract

This study aims to analyze the influence of the Current Ratio (CR) and Return on Assets (ROA) on the stock price of PT Duta Pertiwi Tbk during the 2013–2023 period. The method used is a descriptive quantitative approach with secondary data obtained from the company’s financial reports. The independent variables include CR, which reflects the company’s ability to meet short-term obligations, and ROA, which indicates the efficiency of asset utilization in generating profits. The dependent variable is the stock price, measured based on the closing price in the capital market. The analysis results show that partially, CR has a significant influence on stock prices, with a positive coefficient. This indicates that an increase in the company’s liquidity can boost investor confidence, thereby driving up stock prices. Conversely, ROA does not significantly affect stock prices. Simultaneously, CR and ROA explain 43.9% of the variability in stock prices, while the remainder is influenced by other factors outside the research model. This study highlights the importance of CR as a key indicator in determining stock prices, although other variables, such as macroeconomic factors or corporate strategies, also play a significant role. These findings provide insights for investors and corporate management in managing financial performance to enhance stock value in the capital market.

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Journal Info

Abbrev

IJME

Publisher

Subject

Economics, Econometrics & Finance

Description

International Journal Management and Economic (IJME) is published three times a year, in January, Mey and September by Asosiasi Dosen Muda Indonesia. IJME aims to: Promote the latest research results on Management and/or Entrepreneurship and also Economic. Only publish the results of Subjects ...