PENGARUH KINERJA KEUANGAN PADA RESPON INVESTOR (STUDI PADA PERUSAHAAN INDEKS LQ-45 DI BURSA EFEK INDONESIA)

Abstract

This research aimed to examine the financial performance on investors’ response. This research was quantitative. Furthermore, the research sample used the purposive sampling method and there were 145 observations from 29 LQ-45 companies listed on Indonesia Stock Exchange from 2014 until 2018. Moreover, the analysis method of this research used multiple linear regressions. The result of this research showed that: (a) the current ratio has no effect on investor response, investors do not see the current ratio decision to buy shares, (b) the debt to equity ratio has a positive effect on investor response, the high debt value managed by the company for investing so that the company grows and will make investors interested, (c) total asset turnover has a negative effect on the response of investors, which, the high turnover of assets, the more effective the use of these assets will increase investors' interest to invest in the company, (d) return on equity has a positive effect on investor response, the company is able to provide high profits, (e) earning per share has no effect on investor response, company management is inefficient so that investors consider the company's performance to be poor and cause stock prices to fall.
Keywords: current ratio, debt to equity ratio, total asset turnover, return on equity, earning per share