Main Article Content
Abstract
The purposes of this study are: to analyze the current ratio (CR), return on assets (ROA), and debt to equity ratio (DER) both partially and simultaneously affect the stock price of companies listed on the Indonesia Stock Exchange (IDX) in the property sector and real estate. This study uses 31 companies to sample the 55 property and real estate sector from 2017-2021. The sampling technique was carried out using the purposive sampling method. The test used in this study was multiple regression analysis with t-test and f-test. The results show that the current ratio (CR) has a negative and insignificant effect on stock prices in property and real estate sector. In contrast, the debt-to-equity ratio (DER) has a positive but insignificant effect on stock prices in property and real estate sectors. At the same time, Return on Assets (ROA) positively affects stock prices in property and real estate companies. The management of the company is expected to observe the behavior of investors in the capital market, namely by understanding the motives of investors so that the administration can develop a company strategy to attract investors to understand their capital in the company.
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References
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References
Al Qudah, A. M. A., & Malkawi, E. (2014). Financial Crisis, openness of the economy and the financial performance of Jordanian listed banks: analytical study. Arab Economic and Business Journal, 9(1), 61–66. https://doi.org/https://doi.org/10.1016/j.aebj.2011.10.001
Brückner, M., Chong, A., & Gradstein, M. (2012). Estimating the permanent income elasticity of government expenditures: Evidence on Wagner’s law based on oil price shocks. Journal of Public Economics, 96(11), 1025–1035. https://doi.org/https://doi.org/10.1016/j.jpubeco.2012.08.002
Ding, H., Zhou, D. Q., Liu, G. Q., & Zhou, P. (2020). Cost reduction or electricity penetration: Government R&D-induced PV development and future policy schemes. Renewable and Sustainable Energy Reviews, 124, 109752. https://doi.org/https://doi.org/10.1016/j.rser.2020.109752
Ghozali, I. (2013). Aplikasi Analisis Multivariate Dengan Program IBM dan SPSS. In aplikasi analisis multivariate dengan program ibm spss 19 (p. 113). https://doi.org/10.2307/1579941
Ilyas, I. M., & Osiyevskyy, O. (2021). Exploring the impact of sustainable value proposition on firm performance. European Management Journal. https://doi.org/https://doi.org/10.1016/j.emj.2021.09.009
Irimia-Diéguez, A. I., González-Villegas, J. B., & Oliver-Alfonso, M. D. (2014). The Financial Performance of an Innovative Megaproject. Procedia - Social and Behavioral Sciences, 119, 417–426. https://doi.org/https://doi.org/10.1016/j.sbspro.2014.03.047
Kassem, R., & Turksen, U. (2021). Role of Public Auditors in Fraud Detection: A Critical Review. In S. Grima & E. Boztepe (Eds.), Contemporary Issues in Public Sector Accounting and Auditing (Vol. 105, pp. 33–56). Emerald Publishing Limited. https://doi.org/10.1108/S1569-375920200000105004
Madaleno, M., & Vieira, E. (2020). Corporate performance and sustainability: Evidence from listed firms in Portugal and Spain. Energy Reports, 6, 141–147. https://doi.org/https://doi.org/10.1016/j.egyr.2020.11.092
Moradi, M., Salehi, M., Tarighi, H., & Saravani, M. (2020). Audit adjustments and corporate financing: evidence from Iran. Journal of Accounting in Emerging Economies, 10(4), 521–543. https://doi.org/10.1108/JAEE-07-2019-0145
Moreno, A., & Jones, M. J. (2021). Impression management in corporate annual reports during the global financial crisis. European Management Journal. https://doi.org/https://doi.org/10.1016/j.emj.2021.08.007
Othuon, D. O., Gatimbu, K. K., Musafiri, C. M., & Ngetich, F. K. (2021). Working capital management impacts on small-scale coffee wet mills’ financial performance in eastern Kenya. Heliyon, 7(9), e07887. https://doi.org/https://doi.org/10.1016/j.heliyon.2021.e07887
Pantea, M., Gligor, D., & Anis, C. (2014). Economic Determinants of Romanian Firms’ Financial Performance. Procedia - Social and Behavioral Sciences, 124, 272–281. https://doi.org/https://doi.org/10.1016/j.sbspro.2014.02.486
Ramsbottom, G., Horan, B., Berry, D. P., & Roche, J. R. (2015). Factors associated with the financial performance of spring-calving, pasture-based dairy farms. Journal of Dairy Science, 98(5), 3526–3540. https://doi.org/https://doi.org/10.3168/jds.2014-8516
Ravenda, D., Valencia-Silva, M. M., Argiles-Bosch, J. M., & García-Blandón, J. (2019). Money laundering through the strategic management of accounting transactions. Critical Perspectives on Accounting, 60, 65–85. https://doi.org/https://doi.org/10.1016/j.cpa.2018.08.003
Sarstedt, M., Ringle, C. M., Henseler, J., & Hair, J. F. (2014). On the emancipation of PLS-SEM: A commentary on Rigdon (2012). Long Range Planning, 47(3), 154–160.
Semaw Henock, M. (2019). Financial sustainability and outreach performance of saving and credit cooperatives: The case of Eastern Ethiopia. Asia Pacific Management Review, 24(1), 1–9. https://doi.org/https://doi.org/10.1016/j.apmrv.2018.08.001
Shukla, S. (2014). Analysis of Banking System Performance of Select Global Economies with that of India – During and after the Global Financial. Procedia Economics and Finance, 11, 383–395. https://doi.org/https://doi.org/10.1016/S2212-5671(14)00206-8
Ulum, I., Ghozali, I., & Chariri, A. (2008). Intellectual Capital Dan Kinerja Keuangan Perusahaan; Suatu Analisis Dengan Pendekatan Partial Least Squares. Jurnal Akuntansi & Investasi, 9(2), 1–31.
van der Kleij, R., Wijn, R., & Hof, T. (2020). An application and empirical test of the Capability Opportunity Motivation-Behaviour model to data leakage prevention in financial organizations. Computers & Security, 97, 101970. https://doi.org/https://doi.org/10.1016/j.cose.2020.101970
Vatankhah, S., Javid, E., & Raoofi, A. (2017). Perceived organizational support as the mediator of the relationships between high-performance work practices and counter-productive work behavior: Evidence from airline industry. Journal of Air Transport Management, 59, 107–115. https://doi.org/10.1016/j.jairtraman.2016.12.001
Vătavu, S. (2015). The Impact of Capital Structure on Financial Performance in Romanian Listed Companies. Procedia Economics and Finance, 32, 1314–1322. https://doi.org/https://doi.org/10.1016/S2212-5671(15)01508-7
Wu, J., Wu, G., Kong, X., Luo, Y., & Zhang, X. (2020). Why should landowners in protected areas be compensated? A theoretical framework based on value capture. Land Use Policy, 95, 104640. https://doi.org/https://doi.org/10.1016/j.landusepol.2020.104640