Journal of Business and Management Inaba (JBMI) E-ISSN 2829-5331.
P-ISSN 2829-6559 VOLUME 02.
NO.
01 JUNE 2023
ANALYSIS OF THE EFFECT OF FINANCIAL RATIO ON SHARE
PRICE AT PT UNILEVER INDONESIA TBK PERIOD 2010-2021
Asep Sulaiman1.
Listri Herlina2 Universitas Indonesia Membangun1,2 sulaiman@student.
id , listri.
herlina@inaba.
ABSTRACT
PT Unilever Indonesia Tbk experienced problems with declining stock prices.
Company performance is a factor that can cause a decline in stock prices.
Whether a company's performance is good or not can be seen from financial ratios such as CR.
DER.
NPM.
EPS and PER, where investors tend to invest funds in companies with good financial ratios.
The research objective was to determine the effect of CR.
DER.
NPM.
EPS and PER on stock prices at PT Unilever Indonesia Tbk for the 2010-2021 period.
Quantitative research method with a descriptive verification approach.
Secondary data sources in the form of annual financial report data and purposive sampling technique.
data analysis techniques with descriptive analysis, regression, correlation, hypothesis testing both partially and simultaneously and analysis of the coefficient of determination, with the help of the SPSS v24 program.
The results of the study show that in testing the hypothesis the results are: .
CR has no significant effect on stock prices.
DER has a significant effect on stock prices.
NPM has a significant effect on stock prices.
EPS has a significant effect on stock .
PER has a significant effect on stock prices.
CR.
DER.
NPM.
EPS and PER provide a simultaneous effect .
on the stock price.
Keywords: Current Ratio (CR).
Debt to Equity Ratio (DER).
Net Profit Margin (NPM).
Earnings Per Share (EPS).
Price Earning Ratio (PER).
Stock Prices.
Internal capital is capital obtained from INTRODUCTION the wealth of company owners, while The industrial sector as one of external sources of capital are capital the factors driving the wheels of the obtained from creditors and investors economy has a very important role in (Indriyani, 2.
To be able to get economic growth (Mahriza & Amar, funds from investors, companies need to carry out a Go public policy, by processes the industrial sector requires conducting an IPO (Initial Public capital, capital requirements can be met Offerin.
, namely an initial public from two sources, namely through The place that facilitates the internal sources and external sources.
share offering process is known as the Journal of Business and Management Inaba (JBMI) E-ISSN 2829-5331.
P-ISSN 2829-6559 VOLUME 02.
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01 JUNE 2023
capital market .
id, 2.
Table 1 One of the companies listed on the CR.
DER.
NPM.
EPS.
PER PT Unilever capital market.
PT Unilever Indonesia Tbk, experienced problems with its Indonesia Tbk.
Periode 2010- declining share price.
The Unilever RASIO Tahun Indonesia Tbk's share price which occurred after reaching its highest price in 2017.
DE NP then decreased again in last four years.
The 1,15 17, formation of share prices occurs due to the demand and supply of these shares.
Demand and supply occur due to many factors, both specific to stocks .
ompany performance and the industry in which the company operate.
as well as macro factors rates and non-economic factors such as factors .
id, 2.
that can cause a decline in stock prices.
Whether a company's performance is good or not can be seen from financial ratios such as Current Ratio (CR).
Debt to Equity Ratio (DER).
Net Profit Margin (NPM).
Earnings Per Share (EPS), and Price Earning Ratio (PER), where investors tend to invest their funds in companies with (Mardiana Company performance is a factor social and political conditions.
and other such as interest rates, inflation, exchange Wuryani, 2.
(Sudaryo et al.
, 2020,
1,85 17,
2,02 17,
1,99 17,
2,11 16,
2,26 15,
2,56 15,
2,65 17,
1,58 21,
2,91 17,
3,16 16,
Journal of Business and Management Inaba (JBMI) E-ISSN 2829-5331.
P-ISSN 2829-6559 VOLUME 02.
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01 JUNE 2023
3,41 14,
investors have more confidence in the company, so the stock price is getting more expensive (Lestari, 2.
Based on Table 1, it can be seen that the Current Ratio (CR) during the Careful, thorough analysis and 2010-2021 period is below a value of 1, supported by accurate data is needed to be which means that companies can have able to choose a safe investment.
Investors difficulty paying their debts on time to need information about which companies creditors .
ttps://investbro.
id, 2.
The will provide profits or losses that can be Debt to Equity Ratio (DER) is above 1 or seen from the factors that affect stock price 100% which is the minimum value for a Based on the description good ratio, the higher this ratio will show above, the researcher decided to examine "The Influence of Current Ratio (CR).
Debt (Budiman, 2.
The condition of the Net to Equity Ratio (DER).
Net Profit Margin Profit Margin (NPM) in the last three years (NPM).
Earning Per Share (EPS), and Price has been below 20% which is a good Earning Ratio (PER) on PT Unilever's industry standard (Kasmir, 2.
The Share Pric.
Indonesia Tbk for the 2010- decline in Earning Per Share (EPS) in the 2021 period.
Ay last three years can have an impact on LITERATURE REVIEW investor confidence, this is because an increase in Earning Per Share (EPS) Current Ratio (CR) indicates that the company has succeeded in increasing the level of prosperity of Current Ratio (CR) is a ratio that investors so that investors think that the measures a company's liquidity level company can also provide a large income which is calculated by dividing the per share.
this will increase the level of company's current assets by current investor confidence (Nurita, 2.
Price liabilities (Gitman, 2.
Earning Ratio (PER), is a ratio that Debt to Equity Ratio (DER) company's ability to generate profits.
This Debt to Equity Ratio (DER) is a ratio indicates the degree of investor The PER, ratio that measures the relative proportion of total liabilities to common equity used Journal of Business and Management Inaba (JBMI) E-ISSN 2829-5331.
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to finance company assets.
The higher higher the Price Earning Ratio (PER), the this ratio, the greater the company's use of greater the investor's trust (Gitman, financial leverage (Gitman, 2.
Net Profit Margin (NPM) Stock price The net profit margin (Net Profit The share price is the price that Margi.
measures the percentage of any occurs in the capital market at a certain sales value that remains after all costs and time and the share price is determined by expenses, including interest, taxes and the market mechanism.
The high or low preferred stock dividends, have been price of these shares is determined by the The higher the company's net demand and supply of these shares in the profit margin, the better (Gitman, 2.
Earning Per Share (EPS) METHOD Earning Per Share (EPS) is the This research uses the type of associative research.
Associative research common share.
A high level of Earning is research that aims to find out the Per Share (EPS) value will be attractive to relationship between two or more variables (Sugiyono, 2.
shareholders (Gitman, 2.
A research instrument is a tool used Price Earning Ratio (PER) to measure observed natural and social phenomena (Sugiyono, 2.
The research Price Earning Ratio (PER) is instrument used in this study is the usually used to assess the owner's company's annual report.
assessment of the value of shares.
The Price Earning Ratio (PER) measures the Population and Research Sample amount investors are willing to pay for Population each dollar of a company's income.
The consisting of objects or subjects that have level of this ratio shows the level of confidence that investors have in the determined by researchers to study and then company's performance in the future.
The draw conclusions (Sugiyono, 2.
The Journal of Business and Management Inaba (JBMI) E-ISSN 2829-5331.
P-ISSN 2829-6559 VOLUME 02.
NO.
01 JUNE 2023
population in this study is the annual the Glejser test is used, which is to regress the residual absolute value of the variable Unilever Indonesia Tbk.
Heteroscedasticity does not occur if the significance value is > 0.
The multicollinearity test aims to Conversely, heteroscedasticity occurs if the test whether the regression model finds a significance value is <0.
05 (Ghozali, 2.
A good regression The autocorrelation test aims to test model should not have a correlation whether a linear regression model has a between the independent variables.
The correlation between the confounding errors in period t .
and period t-1 .
multicollinearity is by paying attention to A good regression model should not the Variance Inflation Factor (VIF) and contain autocorrelation.
The existence of tolerance numbers.
The cut-off value that is autocorrelation will cause the confidence commonly used to indicate the presence of interval for the estimation results to widen multicollinearity is a tolerance value of less so that the significance test becomes not 10 or equal to a VIF value of more strong (Ghozali, 2.
The autocorrelation 10 (Ghozali, 2.
test can be carried out through a Run Test, the basis for making a decision is if the The heteroscedasticity test aims to Asymp.
Sig .
-taile.
value is > 0.
05, it can test whether in the regression model, there is an inequality of variance from the taile.
value is < 0.
05, it can be concluded the significance value is > 0.
05, then the autocorrelation, and if the Asymp.
Sig .
- residuals of one observation to another.
that there is autocorrelation (Ghozali.
If the residual variance In this study, to find out how much observation remains, then it is called influence the factors being studied, the homoscedasticity and if it is different it is authors used multiple linear regression and the processing was carried out using the regression model is homoscedasticity or SPSS for windows program.
The formula there is no heteroscedasticity.
To test for the multiple linear regression equation whether there is heteroscedasticity or not, according to Sugiyono .
Journal of Business and Management Inaba (JBMI) E-ISSN 2829-5331.
P-ISSN 2829-6559 VOLUME 02.
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01 JUNE 2023
Y=c CAXCA CCXCC CEXCE 4X4 5X5 u Coefficient of Determination Description:
The coefficient of determination (RA) Y = Dependent Variable Stock Price c = essentially measures how far the model's Constant ability to explain the variation in the dependent variable.
The value of the 12345 = Regression coefficient of coefficient of determination is between 0 independent variable .
and 1 .
A small RA value means that the ability of the dependent variables is XCA = Current Ratio independent variable very limited.
A value close to one means that the independent variables provide (CR) almost all the information needed to predict XCC = Debt to Equity Ratio (DER) independent variable (Ghozali, 2.
XCE = Net Profit Margin independent Partial Test .
The t test is used to test the significant level (NPM) of intermediate effect independent variable with dependent variable.
If the significant X4 = Earning Per Share independent level used is 5%, in other words, if sig <0.
05 then it is declared significant, and vice versa (Ghozali, 2.
(EPS)
Price Earning Ratio Simultaneous Test (Test F) (PER) independent variable The F test shows whether all the u = standard error/confounding variable independent variables included in the model have a joint effect on the dependent Correlation Coefficient Analysis If the significance value of F <0.
05 then Ha is accepted, which states that The correlation coefficient is the number of all independent variables simultaneously the strong relationship between two or more and significantly affect the dependent variable, and vice versa (Ghozali, 2.
Journal of Business and Management Inaba (JBMI) E-ISSN 2829-5331.
P-ISSN 2829-6559 VOLUME 02.
NO.
01 JUNE 2023
RESULT AND DISCUSSION
Thus.
CR is not used by investors in considering making an investment.
The Normality Test it is known that the Monte results of this study support previous Carlo probability value is 0.
250 or 2.
research conducted by Mufidah .
This probability value is greater than which stated that there was no significant effect of CR on stock prices, but this is = 0.
05 or 5%.
Thus the residuals are stated different from the research conducted by to be normally distributed at a significant Samosir, et al.
stated that CR has a level () = 5%.
significant effect on stock prices.
Multicollinearity Test, the tolerance value Effect of DER on Stock Prices of the independent variable > 0.
1 and the VIF value < 10.
It can be concluded that Increases and decreases in DER affect stock there are no symptoms of multicollinearity prices, this is because DER is a ratio that in the regression model.
compares the amount of debt and equity.
This ratio is often used by analysts and Heteroscedasticity Test, the significance investors to see how much a company's debt value of the variable CR (X.
is compared to the equity owned by the DER (X.
NPM (X.
This will be a consideration EPS (X.
798 and PER (X.
whether investors want to invest or not, all results are greater than 0.
05, so that it which will affect stock prices.
The results can be concluded that there is no of this study support the research that has been conducted by Nurhandayani & Nurismalatri .
stating that there is a The Effect of CR on Stock Prices significant effect of DER on stock prices Increasing or decreasing CR has no effect but it is different from the research on stock prices.
This is estimated because conducted by Leonatan & Yunior .
investors consider the CR value to be high which states that DER has no effect on does not mean the company is performing stock prices.
Because it could be due to the high The Effect of NPM on Stock Prices inventory value.
A high inventory value will lead to low company profits and ultimately unable to provide the expected Journal of Business and Management Inaba (JBMI) E-ISSN 2829-5331.
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Increases and decreases in NPM affect The Effect of PER on Stock Prices stock prices, this is because when a Increases and decreases in PER affect stock company's NPM is high, the company's prices, this is due to PER shows the ratio of investment returns will be high, so that stock prices to earnings.
This ratio shows investors will be interested in buying these how much investors assess the price of the shares, which will have an impact on stocks stock against the multiple of earnings.
that will increase.
The results of this study high PER indicates that investors are willing to pay a premium share price or a conducted by Imansyah & Mustafa .
price above the market price.
PER is a ratio stating that there is a significant effect of that measures the level of stock prices based NPM on stock prices but it is different from on profits from each sheet.
The high or low the research conducted by Wulandari, et al.
of this ratio will have an impact on the high .
stated that NPM has no effect on or low of stock prices.
The results of this stock prices.
study support the research that has been The Effect of EPS on Stock Prices conducted by Rahmawati & Hadian .
(Ardillah & Herlinawati, 2.
Increases and decreases in EPS affect stock (Indah & Rahyuda, 2.
(Meilani et al.
prices, this is because if the company's EPS Ristiya et al.
, 2.
stating that there increases, this indicates that the company is a significant effect of PER on stock prices continues to develop and grow.
The greater but it is different from the research the EPS, the better the company's ability to conducted by Pitaloka, et al.
stated earn profits for each share.
This will make that PER has no effect on stock prices.
investors interested in buying company shares, which will result in an increase in The Influence of CR.
DER.
NPM.
EPS and share prices.
The results of this study PER on Stock Prices support the research conducted by Risanti The results of the hypothesis test show that & Murwanti .
which states that there CR.
DER.
NPM.
EPS and PER jointly is a significant effect of EPS on stock .
have a significant effect prices, but this is different from the research on the stock price of PT Unilever Indonesia conducted by Siregar, et al.
states Tbk.
This means that together the variables that EPS has no effect on stock prices.
CR.
DER.
NPM.
EPS and PER can be used Journal of Business and Management Inaba (JBMI) E-ISSN 2829-5331.
P-ISSN 2829-6559 VOLUME 02.
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01 JUNE 2023
as an accurate stock price estimation tool.
Price of PT Unilever Indonesia Tbk The results of this study are in accordance for the 2010-2021 period with research conducted by Imansyah & REFERENCES