Proceedings of the 2nd International Conference on Economics, Business, and Government Challenges, EBGC 2019, 3 October, UPN " Veteran" East Java, Surabaya, Indonesia

Research Article

Analysis of Financial Perfomance Effect on Abnormal Stock Return in the Food and Beverage Companies Listed at Indonesia Stock Exchange

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  • @INPROCEEDINGS{10.4108/eai.3-10-2019.2291911,
        author={Icasania  Septentia and Sri  Hastuti and Dwi  Suhartini and Tri Kartika Pertiwi},
        title={Analysis of Financial Perfomance Effect on Abnormal Stock Return in the Food and Beverage Companies Listed at Indonesia Stock Exchange},
        proceedings={Proceedings of the 2nd International Conference on Economics, Business, and Government Challenges, EBGC 2019, 3 October, UPN " Veteran" East Java, Surabaya, Indonesia},
        publisher={EAI},
        proceedings_a={EBGC},
        year={2020},
        month={2},
        keywords={earning per share current ratio debt to equity ratio and fixed assets turnover ratio on the abnormal stock return},
        doi={10.4108/eai.3-10-2019.2291911}
    }
    
  • Icasania Septentia
    Sri Hastuti
    Dwi Suhartini
    Tri Kartika Pertiwi
    Year: 2020
    Analysis of Financial Perfomance Effect on Abnormal Stock Return in the Food and Beverage Companies Listed at Indonesia Stock Exchange
    EBGC
    EAI
    DOI: 10.4108/eai.3-10-2019.2291911
Icasania Septentia1,*, Sri Hastuti2, Dwi Suhartini2, Tri Kartika Pertiwi2
  • 1: Student of Magister Accounting UPN “Veteran” Jawa Timur, Indonesia
  • 2: Lecturer Faculty of Economics UPN “Veteran” Jawa Timur, Indonesia
*Contact email: icasania15@gmail.com

Abstract

Investment decisions in stock exchange need a various informations, one of those which related to the condition of company that showed in financial statement for understanding the financial information. One of methods for knowing that the financial information may be useful in predicting the price or the share return is to make financial ratio analysis. Return used in this research was the abnormal return share, that is, a difference between the realization return and the expected return or the expectation return.The writer conducted this research at the food and beverage companies have been listed at Indonesian Stock Exchange. The method used in sample collection was the purposive sampling, while the data was secondary data involving financial statement data and company stock price. Data analysis used was multiple linear regression analysis for assessing the effect of earning per share, current ratio, debt to equity ratio, on the abnormal return share.From the analysis results it was resulted that the multiple linear regression model used was not fit due. Independent variable earning per share, current ratio, fixed assets turnover ratio had no effect on the abnormal stock return, only the debt to equity ratio variable has a significant effect on abnormal stock return.