THE INFLUENCE OF RETURN ON ASSETS, RETURN ON EQUITY, AND EARNINGS PER SHARE ON STOCK PRICES IN TECHNOLOGY SECTOR COMPANIES LISTED ON THE INDONESIA STOCK EXCHANGE (IDX)

Stock price is one of the important indicators of a company's success. The purpose of this study is to determine the influence of Return on Assets (ROA), Return on Equity (ROE), and Earnings Per Share (EPS) on stock prices. The data analysis method used in this study is quantitative analysis, which involves analyzing numerical data and using statistical calculations to test hypotheses. The quantitative data analysis methods applied in this research include descriptive statistics tests, classical assumption tests, and multiple linear regression analysis. Out of a population of 22 companies, a sample of 15 companies was selected for this study, covering the period from 2021 to 2023. The data analysis results indicate that Return on Assets (ROA) does not have a significant effect on stock prices, as indicated by t-value < t-table (0.824 < 2.018) with a significance of 0.415 > 0.05. Similarly, the analysis shows that Return on Equity (ROE) also does not significantly influence stock prices, with a t-value < t-table (-0.919 < 2.018) and a significance of 0.364 > 0.05. It can be concluded that neither ROA nor ROE significantly impacts stock prices. However, Earnings Per Share (EPS) does have a significant influence on stock prices, with a significance of 0.020. Future researchers are encouraged to conduct studies using different variables, such as ROA, ROE, and EPS, and to expand the sample size to achieve more in-depth research.

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Publication Details

Journal
International Conference of Business and Social Sciences
Published
2024-11-25
DOI
https://doi.org/10.24034/icobuss.v4i1.598
Primary Topic
Corporate Finance and Governance
Type
article
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article

THE INFLUENCE OF RETURN ON ASSETS, RETURN ON EQUITY, AND EARNINGS PER SHARE ON STOCK PRICES IN TECHNOLOGY SECTOR COMPANIES LISTED ON THE INDONESIA STOCK EXCHANGE (IDX)

Wachidah Fauziyanti, Wanuri Wanuri, Yolanda Ardestya Linanjung
International Conference of Business and Social Sciences
Corporate Finance and Governance
article

THE INFLUENCE OF RETURN ON ASSETS, RETURN ON EQUITY, AND EARNINGS PER SHARE ON STOCK PRICES IN TECHNOLOGY SECTOR COMPANIES LISTED ON THE INDONESIA STOCK EXCHANGE (IDX)

Wachidah Fauziyanti, Wanuri Wanuri, Yolanda Ardestya Linanjung
article en

Abstract

Stock price is one of the important indicators of a company's success. The purpose of this study is to determine the influence of Return on Assets (ROA), Return on Equity (ROE), and Earnings Per Share (EPS) on stock prices. The data analysis method used in this study is quantitative analysis, which involves analyzing numerical data and using statistical calculations to test hypotheses. The quantitative data analysis methods applied in this research include descriptive statistics tests, classical assumption tests, and multiple linear regression analysis. Out of a population of 22 companies, a sample of 15 companies was selected for this study, covering the period from 2021 to 2023. The data analysis results indicate that Return on Assets (ROA) does not have a significant effect on stock prices, as indicated by t-value < t-table (0.824 < 2.018) with a significance of 0.415 > 0.05. Similarly, the analysis shows that Return on Equity (ROE) also does not significantly influence stock prices, with a t-value < t-table (-0.919 < 2.018) and a significance of 0.364 > 0.05. It can be concluded that neither ROA nor ROE significantly impacts stock prices. However, Earnings Per Share (EPS) does have a significant influence on stock prices, with a significance of 0.020. Future researchers are encouraged to conduct studies using different variables, such as ROA, ROE, and EPS, and to expand the sample size to achieve more in-depth research.

International Conference of Business and Social Sciences
Universitas Semarang (ID)
Openalex Percentile: Top 65%
Corporate Finance and Governance
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