Determinants Of Financial Performance To Stock Return

Authors

  • Hety Devita Teacher Training Universitas Mulia Balikpapan Indonesia
  • Nerissa Arviana Teacher Training Universitas Mulia Balikpapan Indonesia

DOI:

https://doi.org/10.51601/ijersc.v4i2.625

Abstract

This study aims to examine the effect of return on assets (X1), return on equity (X2), and earnings
per share (X3) on stock returns (Y) in automotive sub-sector manufacturing companies listed on
the Indonesia Stock Exchange for the 2016-2021 period.The population used in this study is a
manufacturing company in the automotive sub-sector. This study uses saturated sampling
(Census) with a total sample of 7 companies.The data analysis technique in this study uses
descriptive analysis, classical assumption analysis, multiple linear regression analysis, with
hypothesis testing using -t test and F test.The results of the study show that: (1) partially the
return on asset (X1) variable has a positive and significant effect on stock returns. (2) partially
the return on equity variable (X2) has a negative and significant effect on stock returns. (3)
partially the earning per share (X3) variable has no positive and insignificant effect on stock
returns. (4) Simultaneously, the return on assets (X1), return on equity (X2) and earnings per
share (X3) variables have a positive and significant effect on stock returns.

Downloads

Download data is not yet available.

References

Hery. (2016). Financial Ratio For Business , Jakarta :Pt. Gramedia

Kotb, A., & Mansour, H. (2017). The Effect of Financial Ratios on Stock Returns: Evidence from the Egyptian Stock Market. Journal of Applied Accounting Research, 18(2), 197-213.

Martani, D., & Arundina, T. (2018). The Relationship between Financial Ratios and Stock Returns Revisited: Evidence from Indonesia. Journal of Applied Accounting Research, 19(3), 407-423..

Rufai, N., & Audu, U. M. (2017). Financial performance and stock returns: Empirical evidence from listed companies in Nigeria. Journal of Finance and Investment Analysis, 6(2), 1-15. [5]Tas, O., & Aydogan, E. (2017). Financial Ratios and Stock Returns: Evidence from Turkey. International Journal of Economics and Financial Issues, 7(5), 264-270

Tsagkanos, A., & Alexakis, C. (2018). Financial Ratios and Stock Returns: Empirical Evidence from Athens Stock Exchange. Journal of Applied Accounting Research, 19(3), 324-339.

Zhang, X. and He, Y. (2013), "R&D-based earnings management, accounting performance and market return: Evidence from national-recognized enterprise technology centers in China", Chinese Management Studies, Vol. 7 No. 4, pp. 572-585. https://doi.org/10.1108/CMS-09-2013-0176.

Downloads

Published

2023-04-19

How to Cite

Devita, H. ., & Arviana, N. . (2023). Determinants Of Financial Performance To Stock Return. International Journal of Educational Research &Amp; Social Sciences, 4(2), 264–269. https://doi.org/10.51601/ijersc.v4i2.625

Issue

Section

Articles