Analyzing the Effect of NPL, Profitability, and Mobile Banking on Bank Stock Prices During Covid-19 and Normal Times: Evidence from Indonesia

This study aimed to analyze the effect of Non-Performing Loans (NPL), profitability, and the adoption of mobile banking on the stock prices of Indonesian banks during the Covid-19 pandemic and in normal times. The research employed a quantitative approach using secondary data, which were obtained from the financial statements of banking institutions listed on the Indonesia Stock Exchange (IDX) from 2019 to 2023. In this study, the effect of independent variables on dependent variables is analyzed by panel data. The independent variable utilized in this research is NPL, Bank's profitability, and mobile banking and the dependent variable used is stock price. The results of the analysis revealed mixed findings. Specifically, it was found that NPL and ROA do not have a statistically significant effect on stock prices. However, ROE, NIM, and Mobile Banking were found to significantly effect stock prices. This study's outcomes are expected to help investors and stakeholders understand banking stock market behavior during economic instability. The novelty of this research lies its investigation into the effect of the COVID-19 pandemic on bank stock prices over 5 years. Through this research, valuable insights are afforded to readers regarding the influence of mobile banking on financial performance and its consequential impact on stock prices.