PENGARUH SOLVABILITAS, PRICE TO BOOK VALUE, AKTIVITAS, DAN FIRM SIZE TERHADAP RETURN SAHAM

Abstract

Financial ratio is a common approach which used to predict stock return. While, the stock return defines as level
of stock return which had been done. Therefore, this research aimed to find out the effect of solvability which was
reffered to Debt to Equity Ratio and Price to Book Value, aktivity which was refferd to Total Asset Turnover, and
Firm Size on the stock return. Population was 40 banking companies which were listed on Indonesia Stock
Exchange 2014-2018. Moreover, the data collection technique used purposive sampling. In line with, there were
25 companies as sample, in which based on criteria of banking companies that listed on Indonesia Stock Exchange.
The research result concluded Price to Book Value had positive effect on the stock return. This meant, by having a
lotof stock, the company could add its value. Consequently, investors would have interest in the company. On the
other hand, Debt to Equity Ratio, Total Asset Turnover, and Firm Size did not affect the stock return.
Keywords: debt to equity ratio, price to book value, total asset turnover, firm size, stock return