The Influence of Financial Performance and Investment Cash Flow on Stock Price

Authors

  • Gita Genia Fatihat, Bagus Yudo Setyawan, Irrine Kania Defi, Obsatar Sinaga Saint Mary’s University, Halifax, Nova Scotia, Canada

Keywords:

Financial Performance; Stock price; Investment Cash Flow

Abstract

This study aims to determine the description and how much influence Financial Performance (Return On Assets-ROA) and Investment Cash Flows on the Stock Prices of mining sector companies listed on the Indonesia Stock Exchange for the 2016-2020 period. This study discusses the ROA and investment cash flow variables as independent variables, and the stock price variable as the dependent variable. The method used in this study is a descriptive and verification method with a quantitative approach, so that the research method used is a descriptive survey method and an explanatory survey method. In this research object there is a population framework. The technique taken is a purposive sampling technique. The type of data used is secondary data. The data collection technique used is library research and retrieval of the company's financial statements. By using eviews, it is known that ROA has a significant effect on stock prices, while investment cash flows have no effect on stock prices. Based on this study, the sampled companies are still limited to companies registered in the mining sector so that further research needs to be carried out using different research samples with a longer observation time so that the results obtained can be generalized.

 

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Published

2021-12-31