THE INFLUENCE OF FINANCIAL RATIOS ON STOCK PRICE OF SELECTED COAL MINING COMPANIES LISTED IN THE INDONESIA STOCK EXCHANGE PERIOD 2010 – 2014

Abstract

This research aims to identify and proven the significant influences in partial and simultaneously of those 4 (four) independent variables to stock price. Those four independent variables are Return on Assets (ROA), Return on Equity (ROE), Net Profit Margin (NPM) and Earning per Share (EPS). This research chooses the population in selected coal mining companies that listed in the Indonesia Stock Exchange (IDX) period 2010 – 2014. This research uses quantitative research, which using some analysis methods, such as descriptive analysis, classical assumption, multiple regression analysis and hypothesis testing. According to the research result, researcher could conclude that in 7 (seven) coal mining companies period 2010 - 2014, there is ROA has positive significant influence to stock price, EPS has positive significant influence to strockprice. However, ROE has a positive insignificant influence towards stock price, and NPM has a negative insignificant influence towards stock price. Simultaneously, the four independent variables have 62.1% influences towards dependent variable. The rest 37.9% is influenced by other factors not mention in this research.