The Influence of Leverage, Profitability, Inflation on Price to Book Value and Its Impact to Stock Prices (In Mining Companies Listed on the IDX for the Period 2008-2017)

Authors

  • R Susanto Hendiarto*, Aufa Raihan Almajid, Iskina Dayanti, Reni Nuraeni, Citra Pradita Effendi

Abstract

This study aims to determine the description and how much influence the Debt to Equity Ratio (DER), Return on Assets (ROA), and inflation on the value of the company and its implications for stock prices, on Mining Sector Companies listed on the Indonesia Stock Exchange 2018-2017 period both simultaneously or partially. This study discusses three variables, namely DER, ROE, Inflation, independent or independent variables and firm value as intervening or intermediate variables, and stock prices as dependent or dependent variables. The method used in this research is descriptive and verification methods with quantitative approaches so the research methods used are descriptive survey methods and explanatory survey methods. The technique taken is purposive sampling technique. Types of data can be grouped into primary data and secondary data. Data collection techniques used were literature study and field research. The results obtained that DER, ROA, Inflation simultaneously affect the value of the company, partially DER has a significant effect on firm value, ROA has no effect and no significant effect on firm value, inflation has no effect and no significant effect on firm value, and firm value also has no effect significant to stock prices. Based on this research, the company used as a sample is still limited to companies registered in the mining sector so that further research needs to be done using different research samples in a longer observation time so that it is expected that the results obtained can be generalized.

Published

2020-12-05

Issue

Section

Articles