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The Effects of Macroeconomic Variables and Company’s Financial Ratios on Stock Prices of Coal Mining Companies Listed in Indonesia Stock Exchange for the Period of 2013 - 2018

Author

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  • Nidia Prastivini S. Sastralaga
  • Adler Haymans Manurung
  • Ferdinand D. Saragih
  • Benny Hutahayan

Abstract

This research aims to analyze the Macroeconomic variables and Company’s financial ratios on the stock prices of coal meaning companies listed in the Indonesia Stock Exchange for the period of 2013 – 2018. The model of Panel data is used to estimate the relationship between macroeconomic variables and company’s financial ratios on the stock prices of coal mining companies. The result of this this research are: debt to equity ratio significantly affects stock prices of coal mining companies at level of 10%, market capitalization significantly affects stock prices of coal mining companies at level of 5% and macroeconomic variables, such as oil prices, inflation, interest rates, exchange rates and coal prices have highly significantly effects on stock prices of coal mining companies at level of 1%.  JEL classification numbers: E3, E4, G1, Q4 Keywords: debt to equity ratio, market capitalization, oil price, inflation, interest rate. Coal price and panel data.

Suggested Citation

  • Nidia Prastivini S. Sastralaga & Adler Haymans Manurung & Ferdinand D. Saragih & Benny Hutahayan, 2020. "The Effects of Macroeconomic Variables and Company’s Financial Ratios on Stock Prices of Coal Mining Companies Listed in Indonesia Stock Exchange for the Period of 2013 - 2018," Journal of Applied Finance & Banking, SCIENPRESS Ltd, vol. 10(2), pages 1-8.
    • Handle: RePEc:spt:apfiba:v:10:y:2020:i:2:f:10_2_8
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    References listed on IDEAS

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    More about this item

    Keywords

    debt to equity ratio; market capitalization; oil price; inflation; interest rate. coal price and panel data.;
    All these keywords.

    JEL classification:

    • E3 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles
    • E4 - Macroeconomics and Monetary Economics - - Money and Interest Rates
    • G1 - Financial Economics - - General Financial Markets

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