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The influence of monetary performance on stock return in consumer goods industry

WINDARI CHRISTY NAINGGOLAN · Vincentia Wahju Widajatun

International Journal of Finance & Banking Studies · 2020 · Vol. 9 / Issue 3 · 39-50

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Overview

Abstract

Instrument which conventionaly used to invest in a capital market is stock. Investor who invested in stocks wanted a certain level of profits from it, the profit from the result of the investment is called stock return. The increase or decreases of investors’ stock return acquisition were determined by monetary performance projected in the company monetary report. The purpose of this research is to discover the monetary performance of stock return on the category of consumer goods industry company in 2015-2018 periode using EPS (Earnings Per Share), ROE (Return on equity), and DER (Debt to equity ratio) as its measurement tools.
 The method used in this research is causal method with consumer goods industry company sector as its research object. Purposive sampling was used as research sample extraction and as a result, 14 companies were determined as data sample. The data were analyzed using classic assumption test (normality, multicollinearity dan heteroskedasticity). The samples were analyzed using data analysis panel or pooled data. 
 From the result of the research it was determined that monetary performance projected in return on equity was significantly affected the stock return. As for the monetary performance projected in earning per share and debt to equity ratio, was partially insignificant to its effect on stock return. Both monetary performance projected in earning per share, return on equity and debt to equity ratio was significantly affected the stock return of consumer goods industry company in 2015-2018.
  

Keywords: {'name': 'Stock Return, EPS, ROE, DER'}

Authors & affiliations

WINDARI CHRISTY NAINGGOLAN
Affiliation not supplied

Vincentia Wahju Widajatun
Affiliation not supplied

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