THE EFFECT OF CURRENT RATIO (CR), RETURN ON ASSETS (ROA), AND DEBT TO EQUITY RATIO (DER) ON STOCK PRICES IN ENERGY SECTOR COMPANIES LISTED ON JII 70 FOR THE PERIOD 2019 – 2023
Keywords:
current ratio, return on assets, debt to equity ratio, share pricesAbstract
This study investigates the effect of Current Ratio (CR), Return On Assets (ROA), and Debt to Equity Ratio (DER) on the share price of energy sector companies listed on the Jakarta Islamic Index 70 (JII 70) in the 2019-2023 period. Using a quantitative approach, this study used purposive sampling to analyze companies that consistently published audited financial statements during the specified period. The main tool used is Eviews 12 software. The research findings reveal that while CR and DER have no significant impact on stock prices, ROA shows a significant positive influence. Collectively, the three independent variables significantly influenced stock prices, indicating that profitability is an important determinant of investor interest. This analysis suggests that energy companies should prioritize increasing ROA through operational efficiency and strategic debt management to increase investor confidence. Further research is recommended to include additional independent variables, such as Earnings Per Share (EPS) or Book Value Per Share, to strengthen the predictive power of the model and explore a broader industry context.
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References
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Novalddin, MR, Nurrasyidin, M., & Larasati, M. (2020). The Effect of Current Ratio, Return on Asset, Earning Per Share, and Debt to Equity Ratio on Stock Prices in Manufacturing Companies in the Food and Beverage Subsector Listed on the Indonesia Stock Exchange for the 2015-2019 Period. Journal of Accounting Economic Research (JENSI) , 4 (1), 54–67. https://doi.org/10.33059/jensi.v4i1.2662
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Putri, NK, & Septianti, D. (2020). The Effect of Return on Assets Return on Equity Debt To Equity Ratio and Book Value Per Share on Stock Prices. Balance: Journal of Accounting and Business , 5 (2), 145. https://doi.org/10.32502/jab.v5i2.2878
Arison, N. (2019). The Influence of Earning Per Share, Return On Equity, Net Profit Margin, Debt to Equity Ratio, Price Earning Ratio on Stock Prices in Banking Companies Listed on the Indonesia Stock Exchange for the Period 2014-2017. Journal of Management , 5 (2), 61–70. http://ejournal.lmiimedan.net
Brigham, E.F., & Houston, J.F. (2019). Fundamentals of financial management (15th ed.) . Cengage Learning.
Ibrahim, I., & Bala, H. (2017). Firms' Specific Characteristics and Stock Market Returns (Evidence From Listed Food and Beverages Firms in Nigeria). International Journal of Information, Business and Management , 9 (1), 257.
Kartiko Aji, M., & Mauludi AC, A. (2021). The Effect of Liquidity, Profitability, and Solvency on Stock Prices in Banking Companies Listed on the Indonesia Stock Exchange. Journal of Management Science and Research E-ISSN: 2461-0593 , 5 (3), 1–18.
Ministry of Energy and Mineral Resources. (2023). Ministry of Energy and Mineral Resources Publishes HEESI 2022. https://www.esdm.go.id/id/media-center/arsip-berita/kementerian-esdm-terbitkan-heesi-2022
Novalddin, MR, Nurrasyidin, M., & Larasati, M. (2020). The Effect of Current Ratio, Return on Asset, Earning Per Share, and Debt to Equity Ratio on Stock Prices in Manufacturing Companies in the Food and Beverage Subsector Listed on the Indonesia Stock Exchange for the 2015-2019 Period. Journal of Accounting Economic Research (JENSI) , 4 (1), 54–67. https://doi.org/10.33059/jensi.v4i1.2662
Nurhidaya, A., Sahade, S., & Idris, H. (2024). The Effect of Liquidity on Stock Prices in Coal Mining Sector Companies on the Indonesia Stock Exchange. Journal of Research Science , 14 (1), 195–203. https://doi.org/10.47647/jsr.v14i1.2234
OJK. (2021). Capital Market Statistics Semester II - 2020 (pp. 1–23).
Purwaningtyas, F. (2019). The Effect of Liquidity and Profitability on Company Stock Prices (Case Study on Food and Beverage Manufacturing Companies Listed on the Indonesia Stock Exchange). In journal. Bhayangkara University Surabaya .
Putri, NK, & Septianti, D. (2020). The Effect of Return on Assets Return on Equity Debt To Equity Ratio and Book Value Per Share on Stock Prices. Balance: Journal of Accounting and Business , 5 (2), 145. https://doi.org/10.32502/jab.v5i2.2878
Arifa, D., Ningsih, E., & Amaroh, S. (2024). The Effect of ROA, Inflation and Rupiah Exchange Rate on Sharia Stock Prices of Consumer Goods Industry Sector of ISSI Indexed Companies 2019-2022. Journal of Applied Islamic Economics and Finance , 4 (2), 234–251.
Arison, N. (2019). The Influence of Earning Per Share, Return On Equity, Net Profit Margin, Debt to Equity Ratio, Price Earning Ratio on Stock Prices in Banking Companies Listed on the Indonesia Stock Exchange for the Period 2014-2017. Journal of Management , 5 (2), 61–70. http://ejournal.lmiimedan.net
Brigham, E.F., & Houston, J.F. (2019). Fundamentals of financial management (15th ed.) . Cengage Learning.
Ibrahim, I., & Bala, H. (2017). Firms' Specific Characteristics and Stock Market Returns (Evidence From Listed Food and Beverages Firms in Nigeria). International Journal of Information, Business and Management , 9 (1), 257.
Kartiko Aji, M., & Mauludi AC, A. (2021). The Effect of Liquidity, Profitability, and Solvency on Stock Prices in Banking Companies Listed on the Indonesia Stock Exchange. Journal of Management Science and Research E-ISSN: 2461-0593 , 5 (3), 1–18.
Ministry of Energy and Mineral Resources. (2023). Ministry of Energy and Mineral Resources Publishes HEESI 2022. https://www.esdm.go.id/id/media-center/arsip-berita/kementerian-esdm-terbitkan-heesi-2022
Novalddin, MR, Nurrasyidin, M., & Larasati, M. (2020). The Effect of Current Ratio, Return on Asset, Earning Per Share, and Debt to Equity Ratio on Stock Prices in Manufacturing Companies in the Food and Beverage Subsector Listed on the Indonesia Stock Exchange for the 2015-2019 Period. Journal of Accounting Economic Research (JENSI) , 4 (1), 54–67. https://doi.org/10.33059/jensi.v4i1.2662
Nurhidaya, A., Sahade, S., & Idris, H. (2024). The Effect of Liquidity on Stock Prices in Coal Mining Sector Companies on the Indonesia Stock Exchange. Journal of Research Science , 14 (1), 195–203. https://doi.org/10.47647/jsr.v14i1.2234
OJK. (2021). Capital Market Statistics Semester II - 2020 (pp. 1–23).
Purwaningtyas, F. (2019). The Effect of Liquidity and Profitability on Company Stock Prices (Case Study on Food and Beverage Manufacturing Companies Listed on the Indonesia Stock Exchange). In journal. Bhayangkara University Surabaya .
Putri, NK, & Septianti, D. (2020). The Effect of Return on Assets Return on Equity Debt To Equity Ratio and Book Value Per Share on Stock Prices. Balance: Journal of Accounting and Business , 5 (2), 145. https://doi.org/10.32502/jab.v5i2.2878
Arison, N. (2019). The Influence of Earning Per Share, Return On Equity, Net Profit Margin, Debt to Equity Ratio, Price Earning Ratio on Stock Prices in Banking Companies Listed on the Indonesia Stock Exchange for the Period 2014-2017. Journal of Management , 5 (2), 61–70. http://ejournal.lmiimedan.net
Brigham, E.F., & Houston, J.F. (2019). Fundamentals of financial management (15th ed.) . Cengage Learning.
Ibrahim, I., & Bala, H. (2017). Firms' Specific Characteristics and Stock Market Returns (Evidence From Listed Food and Beverages Firms in Nigeria). International Journal of Information, Business and Management , 9 (1), 257.
Kartiko Aji, M., & Mauludi AC, A. (2021). The Effect of Liquidity, Profitability, and Solvency on Stock Prices in Banking Companies Listed on the Indonesia Stock Exchange. Journal of Management Science and Research E-ISSN: 2461-0593 , 5 (3), 1–18.
Ministry of Energy and Mineral Resources. (2023). Ministry of Energy and Mineral Resources Publishes HEESI 2022. https://www.esdm.go.id/id/media-center/arsip-berita/kementerian-esdm-terbitkan-heesi-2022
Novalddin, MR, Nurrasyidin, M., & Larasati, M. (2020). The Effect of Current Ratio, Return on Asset, Earning Per Share, and Debt to Equity Ratio on Stock Prices in Manufacturing Companies in the Food and Beverage Subsector Listed on the Indonesia Stock Exchange for the 2015-2019 Period. Journal of Accounting Economic Research (JENSI) , 4 (1), 54–67. https://doi.org/10.33059/jensi.v4i1.2662
Nurhidaya, A., Sahade, S., & Idris, H. (2024). The Effect of Liquidity on Stock Prices in Coal Mining Sector Companies on the Indonesia Stock Exchange. Journal of Research Science , 14 (1), 195–203. https://doi.org/10.47647/jsr.v14i1.2234
OJK. (2021). Capital Market Statistics Semester II - 2020 (pp. 1–23).
Purwaningtyas, F. (2019). The Effect of Liquidity and Profitability on Company Stock Prices (Case Study on Food and Beverage Manufacturing Companies Listed on the Indonesia Stock Exchange). In journal. Bhayangkara University Surabaya .
Putri, NK, & Septianti, D. (2020). The Effect of Return on Assets Return on Equity Debt To Equity Ratio and Book Value Per Share on Stock Prices. Balance: Journal of Accounting and Business , 5 (2), 145. https://doi.org/10.32502/jab.v5i2.2878
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Published
2024-12-25
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How to Cite
THE EFFECT OF CURRENT RATIO (CR), RETURN ON ASSETS (ROA), AND DEBT TO EQUITY RATIO (DER) ON STOCK PRICES IN ENERGY SECTOR COMPANIES LISTED ON JII 70 FOR THE PERIOD 2019 – 2023. (2024). INTERNATIONAL SEMINAR, 6, 630-642. https://conference.unita.ac.id/index.php/conference/article/view/243
