Year: 2023 | Month: September | Volume: 10 | Issue: 9 | Pages: 226-241
DOI: https://doi.org/10.52403/ijrr.20230925
Analysis of the Influence of Debt to Equity Ratio (DER), Earnings Per Share (EPS), and Dividend Payout Ratio (DPR) on Stock Price with Firm Value as an Intervening Variable (Case Study of LQ45 Stock Index 2015-2021 Period)
Yustiani Nainggolan1, Azhar Maksum2, Keulana Erwin3
1,2,3Department of Accounting, Faculty of Economics and Business, Universitas Sumatera Utara, Indonesia
Corresponding Author: Yustiani Nainggolan
ABSTRACT
This study aims to examine and analyze the effect of Debt Equity Ratio (DER), Earning Per Share (EPS), and Dividend Payout Ratio (DPR) on Stock Prices through Firm Value as a mediating variable for companies listed on the LQ45 Index for the 2015-2021 period. This study used purposive sampling so that the sample in the study was as many as 12 companies listed in the LQ45 Index with a total of 84 observations and data processing in this study using IBM SPSS software. The analytical method used in this study is multiple linear regression analysis and path analysis.
The results showed that Earning Per Share (EPS) and Dividend Payout Ratio (DPR) positively and significantly affected firm value. In contrast, the Equity Ratio (DER) had no significant effect on firm value. Debt to Equity Ratio (DER) and Earning Per Share (EPS) positively and significantly affect stock prices. In contrast, the Dividend Payout Ratio (DPR) and Firm Value do not significantly affect stock prices. The Firm Value variable can only mediate the relationship between the Dividend Payout Ratio (DPR) and stock prices.
Keywords: Debt to Equity Ratio, Earnings Per Share, Dividend Payout Ratio, Firm Value, and Stock Price.
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