Company Specific Characteristics, Leverage, Share Performance (A Case Study of Manufacturing Companies in Indonesia)
- DOI
- 10.2991/aicar-18.2019.30How to use a DOI?
- Keywords
- profitability; liquidity; leverage; firm size; price earning ratio
- Abstract
The purpose of this study was to examine the impact of profitability, liquidity, leverage and firm size towards price earnings ratio on Manufacturing Company in Indonesia. This research is using quantitative by studying literature method. Data were gathered using a financial statement data from Indonesia Stock Exchange from 2014 until 2016. A total 30 manufacturing companies were used to assess overall fit of the proposed model and test hypotheses using Multiple Regression Analysis. The data were analyzed using E-views version 9.0. The finding revealed that profitability, liquidity and leverage have significance influence towards price earnings ratio. Besides, firm size is not significant influence towards price earnings ratio on Manufacturing Company in Indonesia. Another finding shows all variables has simultaneously have influence towards the price earnings ratio. The finding suggests all of these variables has an impact on price earnings ratio which can be used as one of the guidelines for investors in making investment decision. Accurate stock valuations can minimize risks and helping investors earn a maximum profit. This study give contribute in both theoretical and managerial implication to achieve greater price earnings ratio that give emphasis on company specific characteristics.
- Copyright
- © 2019, the Authors. Published by Atlantis Press.
- Open Access
- This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).
Cite this article
TY - CONF AU - Muhammad Ramaditya AU - Diana Supriati AU - Zanuar Eko Prasetyo PY - 2019/02 DA - 2019/02 TI - Company Specific Characteristics, Leverage, Share Performance (A Case Study of Manufacturing Companies in Indonesia) BT - Proceedings of the 5th Annual International Conference on Accounting Research (AICAR 2018) PB - Atlantis Press SP - 145 EP - 148 SN - 2352-5428 UR - https://doi.org/10.2991/aicar-18.2019.30 DO - 10.2991/aicar-18.2019.30 ID - Ramaditya2019/02 ER -