The Effect of Financial Ratios (Liquidity, Solvency, Profitability) on Stock Performance of Transportation and Trading Companies Listed on The Indonesia Stock Exchange

Elisabeth Rongga (Accounting, Faculty of Economics, Tribhuwana Tunggadewi University, Malang, Indonesia)
Nur Ida Iriani (Accounting, Faculty of Economics, Tribhuwana Tunggadewi University, Malang, Indonesia)
Agnes Qurtina Pudjiastuti (Master in Agricultural Economics, The Postgraduate School, University of Tribhuwana Tunggadewi, Malang, Indonesia)

International Journal of Management and Business
Vol. 3 No. 4 (2026): October

This study aims to analyze the effect of financial ratios consisting of liquidity, solvency, and profitability on the stock performance of transportation and trading sector companies listed on the Indonesia Stock Exchange during the 2020–2024 period. This research employed a quantitative approach with a causal associative research design. The data used were secondary data in the form of financial statements and company stock price data. Data analysis techniques included descriptive statistical analysis, classical assumption testing, and multiple linear regression analysis. The results of the study indicate that simultaneously, liquidity, solvency, and profitability ratios have a significant effect on stock performance. Partially, profitability has the most dominant influence on stock performance, while liquidity and solvency show inconsistent effects in several companies. This study is expected to provide information for investors in making investment decisions and for companies in improving financial performance to increase stock value in the capital market.