The Effect of Cash Dividend, Retained Earnings, and Stock Price of Manufacturing Company Listed In Indonesia Stock Exchange
DOI:
https://doi.org/10.21512/tw.v16i1.1553Keywords:
cash dividends per share, earnings per share, leverage, retained earnings per share, stock priceAbstract
This study aims to determine the effect of cash dividends per share, retained earnings per share, earnings per share, and leverage on the stock price of manufacture industry in Indonesia from 2008-2012. Research used secondary data in which the source was obtained indirectly through an intermediary medium or data processed from literatures and reports associated with this research. Independent variables in this study (x) are cash dividends per share, retained earnings per share, earnings per share, and leverage, while the dependent variable (y) is stock price. The samples used were 23 companies with purposive sampling method. The empirical results of this study indicate that cash dividends per share, retained earnings per share, earnings per share, and leverage has significant effect on the stock price. It is therefore the higher stock price will attract investors to invest their money. Hence, companies and investors need to attend cash dividends per share, retained earnings per share, earnings per share, and leverage as factors that affect the increase or decrease of the stock price.
Plum Analytics
References
Alam, M. M., & Uddin, M. G. S. (2009). Relationship between interest rate and stock price: Empirical evidence from developed and developing countries. International Journal of Business and Management, 4(3), 43–51. Retrieved from http://www.ccsenet.org/journal/index.php/ijbm/article/view/217/177
Al-Hasan, M. A., Asaduzzaman, M., & Karim, R. al. (2013). The effect of dividend policy on share price: An evaluative study. IOSR Journal of Economics and Finance, 1(4), 6–11. Retrieved from http://www.iosrjournals.org/iosr-jef/papers/vol1 issue4/B0140611.pdf?id=7841
AlTroudi, W., & Milhem, M. (2013). Cash dividends, retained earnings and stock prices: Evidence from Jordan. Interdisciplinary Journal of Contemporary Research in Business, 4(12), 585– 599.
Bahreini, V., Baghbani, M., & Bahreini, R. (2013). No Title. European Online Journal of Natural and Social Sciences, 2(3), 25–34. Retrieved from http://europeanscience.com/eojnss/article/viewFile/332/pdf
Brigham, E. F., & Houston, J. F. (2010). Essentials of Financial management. Singapore: Cengage Learning Asia.
Cai, J., & Zhang, Z. (2011). Leverage change, debt overhang, and stock prices. Journal of Corporate Finance, 17(3), 391–402. http://doi.org/doi:10.1016/j.jcorpfin.2010.12.003
Downloads
Published
How to Cite
Issue
Section
License
Authors who publish with this journal agree to the following terms:
a. Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License - Share Alike that allows others to share the work with an acknowledgment of the work's authorship and initial publication in this journal.
b. Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a book), with an acknowledgment of its initial publication in this journal.
c. Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work.
USER RIGHTS
All articles published Open Access will be immediately and permanently free for everyone to read and download. We are continuously working with our author communities to select the best choice of license options, currently being defined for this journal as follows: Creative Commons Attribution-Share Alike (CC BY-SA)
