The influence of profitability, liquidity and company growth on share prices in construction service companies listed on the Idx for the 2019-2022 period

Nova Fitria Marpaung *, Agus Tripriyono and Oktarini Khamilah Siregar

Department of Master of Management, University of Pembangunan Panca Budi, Medan, Indonesia.
 
Research Article
World Journal of Advanced Research and Reviews, 2024, 22(02), 790–801
Article DOI: 10.30574/wjarr.2024.22.2.1316
Publication history: 
Received on 25 March 2024; revised on 04 May 2024; accepted on 06 May 2024
 
Abstract: 
This research was conducted by a Construction Services Company listed on the Indonesia Stock Exchange. The purpose of the study is to determine and analyze how the effect of profitability is proxied by the price earning ratio, liquidity proxied by the current ratio and company growth proxied by the assets growth ratio (AGR) on stock prices proxied by closing prices. This research was conducted from 2019 to 2022. The number until this study was 16 companies with a period of 4 years so that the total was up to 64 financial statements. This study used quantitative data processed with the Eviews application with a panel data linear regression model. The data source used secondary data taken from the Indonesia Stock Exchange website. The results showed that partially the price earning ratio (PER) had a positive and significant effect on stock prices. The current ratio (CR) has a positive but not significant effect on stock prices. Asset growt ratio (AGR) has a positive and significant effect on stock prices. While simultaneously the price earning ratio (PER), current ratio (CR) and assets growt ratio (AGR) simultaneously, have a positive and significant effect on stock prices.\
 
Keywords: 
Price Earnings Ratio; Current Ratio; Assets Growth Ratio; Closing Price
 
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