Article Sidebar

Download
PDF
Statistic
Read Counter : 99 Download : 71

Main Article Content

Abstract

The coal industry is a pillar of the Indonesian economy as the main energy source and an important contributor to the country's foreign exchange. Coal companies in the Kompas100 Index  show significant stock performance measurements, giving rise to the need to understand the factors that contribute to variations in stock returns, both in terms of internal and external factors. This research aims to analyze the influence of internal factors (Current Ratio, Net Profit Margin, Debt to Equity Ratio) and external factors (inflation, interest rates, currency exchange rates) on stock returns of coal companies listed on the Kompas100 Index on the Indonesia Stock Exchange. This research method uses a quantitative approach, purposive sampling is used to select samples based on the availability of complete financial data and relevant historical stock price data. The analysis shows that in this study, the Current Ratio (CR) has a significant positive influence on Stock Returns, while the Net Profit Margin (NPM) also has a significant positive influence. On the other hand, the Debt to Equity Ratio (DER) has a significant positive influence. Externally, inflation has a significant negative impact on Stock Returns, while interest rates also have a significant negative impact, but the exchange rate does not affect Stock Returns. Overall, internal factors influence Stock Returns, and external factors also influence Stock Returns. Additionally, the combination of internal and external factors collectively affects Stock Returns with significant interaction complexity.

Keywords

Current Ratio (CR) Net Profit Margin (NPM) Debt to Equity Ratio (DER) Stock Returns Inflation Interest Rates and Exchange Rates

Article Details

Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.

Creative Commons License
This work is licensed under a Creative Commons Attribution 4.0 International License.

How to Cite
Sinaga, U. P. R. S., & Rudianto, D. (2024). Impact of Internal and External Factors of a Company Facing the Return of the Company with a Compas100 Indeks Noted on the Indonesia Shipping Borse. Ilomata International Journal of Tax and Accounting, 5(3), 692-708. https://doi.org/10.61194/ijtc.v5i3.1322

References

  1. Ahmed, I. A. (2019). Capital Structure, Ownership Structure and Corporate Governance of SMEs in Ghana. Journal of Accounting – Business & Management, 26(1), 45–56.
  2. Al-Khazali, O. M., & Zoubi, T. A. (2018). Financial Performance and Firm Value: Evidence from Jordan. International Journal of Financial Studies, 6(3), 85–98.
  3. Beaupain, R., & Braouézec, Y. (2017). Central bank tools for steering short-term interest rates. Reflets et Perspectives de La Vie Economique, 56(4), 113–123. https://doi.org/10.3917/rpve.564.0113
  4. Betz, T., & Kerner, A. (2016). The influence of interest: Real US interest rates and bilateral investment treaties. Review of International Organizations, 11(4), 419–448. https://doi.org/10.1007/s11558-015-9236-6
  5. Bhunia, A., & Mukhuti, S. (2018). Financial Performance Analysis: A Case Study of Tata Steel. Journal of Financial Management & Analysis, 31(2), 38–53.
  6. Bodie, Z., Kane, A., & Marcus, A. J. (2018). Investments. McGraw-Hill Education.
  7. Brown, C., & Al, E. (2019). Industry analysis in fundamental equity valuation: A comprehensive review. Financial Analysts Journal, 36(2), 110–132.
  8. Brown, T., Johnson, R., & Williams, S. (2020). Assessing Liquidity: The Role of Current Ratio in Financial Health. Journal of Financial Analysis and Investment, 45(3), 275–290.
  9. Cheba, K., Kiba-Janiak, M., Baraniecka, A., & Kołakowski, T. (2021). Impact of external factors on e-commerce market in cities and its implications on environment. Sustainable Cities and Society, 72(1).
  10. Connelly, B. L., Certo, S. T., Ireland, R. D., & Reutzel, C. R. (2019). Signaling theory: A review and assessment. Journal of Management, 45(6), 2409–2431.
  11. Davis, J. H., & Schoorman, F. D. Donaldson, L. (2019). Toward a stewardship theory of management. Academy of Management Review, 22(1), 20–47.
  12. Glebocki Keefe, H., & Saha, S. (2022). Threshold effects of openness on real and nominal effective exchange rates in emerging and developing economies. World Economy, 45(5), 1386–1408. https://doi.org/10.1111/twec.13212
  13. Go, Y.-H., Ng, C.-F., & Jayaraman, T. K. (2020). Asymmetric effect of China’s exchange rates on global commodity prices: New evidence and implication. Journal of International Trade and Economic Development, 29(4), 455–481. https://doi.org/10.1080/09638199.2019.1697346
  14. Jensen, M. C., & Meckling, W. H. (2018). Theory of the Firm: Managerial Behavior, Agency Costs and Ownership Structure. Journal of Financial Economics, 3(4), 305–360.
  15. Johnson, M., & Lee, J. (2019). Sustainable Profitability in a Dynamic Market: Insights from Net Profit Margin Analysis. Global Economic Journal, 27(1), 101–118.
  16. Johnson, R. (2019). The role of financial reporting in updating financial ratios for stock analysis. Journal of Accounting and Public Policy, 38(3), 201–224.
  17. Johnson, R. A., Hoskisson, R. E., & Hitt, M. A. (2018). The Effects of International Expansion and Profit Margin on Firm Value: An Empirical Study in the US Market. Strategic Management Journal, 39(6), 1698–1724.
  18. Jung, J., & Kim, S. (2020). The impact of share repurchase on signaling undervaluation: Evidence from Korea. Journal of Financial Studies, 28(1), 23–45.
  19. Karjono, A. (2019). Pengaruh Cash Ratio, Net Profit Margin, Debt to Equity Ratio, dan Firm Size terhadap Kebijakan Dividen (Studi Empiris pada Perusahaan Manufaktur yang Terdaftar di BEI Periode 2013-2017. Jurnal Manajemen Bisnis, 22(3).
  20. Kumeka, T. T., Uzoma-Nwosu, D. C., & David-Wayas, M. O. (2022). The effects of COVID-19 on the interrelationship among oil prices, stock prices and exchange rates in selected oil exporting economies. Resources Policy, 77. https://doi.org/10.1016/j.resourpol.2022.102744
  21. Li, S., & Nakagawa, H. (2022). Exchange rates and foreign direct investment: Evidence from Chinese firm-level data. World Economy, 45(9), 2902–2923. https://doi.org/10.1111/twec.13257
  22. Lim, H., & Rokhim, R. (2020). Factors affecting profitability of pharmaceutical company: an Indonesian evidence. Journal of Economic Studies, 48(5).
  23. Ma, Y., & Wang, J. (2019). Co-movement between oil, gas, coal, and iron ore prices, the Australian dollar, and the Chinese RMB exchange rates: A copula approach. Resources Policy, 63. https://doi.org/10.1016/j.resourpol.2019.101471
  24. Mankiw, N. G. (2019). Macroeconomics. 10th ed. Worth Publishers.
  25. Mattingly, T. J. (2019). Before we talk about student debt cancelation, can we talk about interest rates? American Journal of Pharmaceutical Education, 83(9), 1832–1835. https://www.scopus.com/inward/record.uri?eid=2-s2.0-85076984215&partnerID=40&md5=2e549f4faeacc41b9718bb3b8b319049
  26. Nguyen. (2021). Internal Factors Affecting Firm Performance: A Case Study in Vietnam. The Journal of Asian Finance, Economics and Business, 8(5), 303–314.
  27. Nguyen, H. T. T., Tram, H. T. X., & Nguyen, L. T. T. (2023). Interest rates and systemic risk:Evidence from the Vietnamese economy. Journal of Economic Asymmetries, 27. https://doi.org/10.1016/j.jeca.2023.e00294
  28. Pujiharto, & Abdul’Aziz. (2023). PERAN LEMBAGA PEMBIAYAAN PT. BFI FINANCE CABANG SEMARANG DALAM MEMENUHI KEBUTUHAN TRANSPORTASI MASYARAKAT (Studi Kasus di PT. BFI Finance Cabang Semarang). Universitas Islam Sultan Agung Semarang.
  29. Ranaldo, A., Schaffner, P., & Vasios, M. (2021). Regulatory effects on short-term interest rates. Journal of Financial Economics, 141(2), 750–770. https://doi.org/10.1016/j.jfineco.2021.04.016
  30. Shi, J. (2019). Vertical FDI and exchange rates over the business cycle: The welfare implications of openness to FDI. Journal of Development Economics, 138, 274–293. https://doi.org/10.1016/j.jdeveco.2019.01.004
  31. U., A. M., Andini, R., Raharjo, & Kharis. (2016). Analisis Pengaruh Net Profit Margin (NPM), Return On Asset (ROA) dan Current Ratio (CR) terhadap harga Saham Emiten LQ 45 Yang Terdaftar di Bursa Efek Indonesia PadaTahun 2010-2014. Journal Of Accounting, 2(2).