Accounting (Jan 2021)

The driving factors of real estate stock prices in Indonesia Stock Exchange

  • Ratnasih, Cicih,
  • Zulher, Zulher

DOI
https://doi.org/10.5267/j.ac.2021.5.013
Journal volume & issue
Vol. 7, no. 7
pp. 1575 – 1580

Abstract

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In this study, the factors to be researched are internal factors related to financial ratios such as market ratios namely Price Earnings Ratio, Leverage Ratio namely Debt to Equity Ratio, and Profitability Ratio namely Return on Assets (ROA) as variables that affect Stock Prices in real estate companies in Indonesia Stock Exchange. The data used are secondary data from time series that have been transformed from the Indonesia stock exchange. The method used is multiple regression with OLS, to find how much the influence of independent variables have as driving forces on stock prices. The results obtained from this study are price earnings ratio, debt to equity ratio, ROA simultaneously affect the stock prices of Real Estate companies in the Indonesian stock exchange. Meanwhile, partially, the three variables deserve to be the driving factor for share prices in real estate companies at the Indonesia Stock Exchange.