The Effect of Financial Performance on the Stock Price of PT. Unilever Indonesia, TBK

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The Effect of Financial Performance on the Stock Price of PT. Unilever Indonesia, TBK

ABSTRACT : The study aims to determine the effect of Financial Performance consisting of Current Ratio
(CR), Earning Per Share (EPS), and Return on Equity (ROE) on the Stock Price of PT. Unilever Indonesia, Tbk
for the 2011 – 2018 periods. The research method used in this research is quantitative methods. The type of data
used in this study is Time Series data during the first quarter of 2011 to the fourth quarter of 2018 from PT.
Unilever Indonesia, Tbk as the research sample. The data source used comes from secondary data that has been
published and accessed through the Indonesia Stock Exchange website www.idx.go.id. The data collection
method used in this study was purposive sampling method. The analysis in this study uses multiple linear
regression analysis with the OLS (Ordinary Least Square) method. The result show that simultaneous variables
of financial performance consisting of Current Ratio (CR), Earning Per Share (EPS), and Return on Equity
(ROE) have a significant influence on The Stock Price of PT. Unilever Indonesia, Tbk for the 2011 – 2018
periods. Based on these results, PT Unilever Indonesia, Tbk need to increase CR, EPS, ROE in order to generate
higher the Stock Price. Furthermore, it is also necessary to carry out further research from other companies in
the consumer good sector that have been listed in Indonesia Stock Exchange.

KEYWORDS – Current Ratio, Earnings Per Share, Financial Performance, Return on Equity, Stock Price

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