Effect of EVA, DER, ROE and EPS of the stock price At Pharmaceutical Companies listed on the Stock Exchange

Abstract

This study aims to determine the effect of variable Economic Value Added (EVA). Debt Equity Ratio (DER), Return on Equity (ROE) and earnings per share (EPS), the stock price either simultaneously or partially, as well as identify and analyze the dominant variables affect the price of shares in pharmaceutical companies in the Stock Exchange 2006-2011 Indonesia. This research is explanatory research, which explains the existence of the effect between the dependent and independent variables through a hypothesis testing is done. The study population were 9 pharmaceutical companies listed in Indonesia Stock Exchange. For its decision because the number is low, the study sample is the entire population or census done. Based on a sample population and is then conducted multiple regression analysis. The results using multiple linear regression analysis showed simultaneous EVA, DER, ROE and EPS significantly influence stock prices in the pharmaceutical company. Three variables influence the magnitude of the stock price is equal to 58.6% while the remaining 41.4% is influenced by other variables not included in the regression model. While partially, EVA, DE, ROE and EPS significantly influence the stock prices of pharmaceutical companies, as EVA, DER, EPS ROEdan is important information for investors in making the right investment decisions. Thus, it can be concluded that the four independent variables are EVA, DER, ROE and EPS simultaneously or partially have a significant impact on stock prices of pharmaceutical companies. ROE is a variable that has dominant influence on stock prices of pharmaceutical companies listed in Indonesia Stock Exchange.