COMPARISON OF PERFORMANCE, CORPORATE FINANCE AND EFFECTS ON THE RETURN OF SHARES IN BANKING SECTOR INDEX joined in LQ 45 IN JAKARTA STOCK EXCHANGE

Eka Novitasari

Abstract


The
use of fundamental analysis of nancial ratios as conven-
tional accounting measurement tool has a major drawback,
namely ignoring the cost of capital so it is dicult to know
whether a company has succeeded in creating a value or not.
To overcome these weaknesses is developed a new concept
of Economic Value Added (EVA). EVA (Economic Value
Added) is an indicator of the value creation of an invest-
ment. The role of ROE here is to demonstrate the ability
of the company in generating prots for the owners of their
own capital in companies. The purpose of this study was
to determine whether the measurement of company perfor-
mance using EVA and ROE eect on stock returns individu-
ally and or simultaneously on the company's banking sector
LQ 45 which went public on the Jakarta Stock Exchange in
2005 to 2007. Analysis techniques used in this study is a
simple linear regression analysis and multiple linear regres-
sion analysis using SPSS 13, with the dependent variable
Stock Return is the independent variable while the Eco-
nomic Value Added (EVA) and Return on Equity (ROE).
The results rst, second and third show that there is no sig-
nicant in
uence. This is likely caused by various factors,
including social, political, economic and unstable Indonesia
resulting in high levels of business risk and uncertainty of
income to be received by investors and market participants
in making investment decisions in the banking sector LQ
45.

Full Text:

Full Paper

Download File : 12615-35508-1-PB.pdf aneka ragam manfaat dan khasiat sejuta manfaat artikel unik sejarah kerajaan