Open AccessSTUDI PRICE EARNINGS RATIO ANTAR SEKTOR INDUSTRI MANUFAKTUR
Author(s) -
Bernadetta Diaugraheni,
Prof.Dr. Mas 'ud Machfoedz
Publication year - 2017
Publication title -
ekuitas (jurnal ekonomi dan keuangan)
Language(s) - English
Resource type - Journals
eISSN - 2548-5024
pISSN - 1411-0393
DOI - 10.24034/j25485024.y2004.v8.i1.2024
Subject(s) - leverage (statistics) , earnings , index (typography) , variables , economics , manufacturing , operating leverage , econometrics , portfolio , regression analysis , price index , business , financial economics , statistics , mathematics , finance , marketing , profitability index , world wide web , computer science
The Economic crisis that broke in Indonesia since the mid-year of 1997 caused a lot of business losses. This condition brings effect to the investors to determine their portfolio. One of most popular financial indicator that usually used to predict the business prospect and risk is price earnings ratio (PER). This study is peiformed to find whether PER between manufacturing industrial sectors differ before and after the year 1997. By using two ways ANOVA analysis, so the result of the analysis proved that before and after the year 1997, PER between manufacturing industrial sectors were different. The different were caused by economic crisis. Beside that, this study also peiformed a test of consistency of variables that influence the different of PER for those two condition, before and after the year 1997. The variables that used consist of income smoothing index, beta, financial leverage, earnings growth, ROE, and size. Manufacturing industrial sectors were used as a dummy variable. By using the multiple linier regression analysis, so those six variables that used thrown together could explain the change of PER. The variable of income smoothing index, earnings growth, ROE, and size significantly influence PER at the condition before the year 1997. In other side, after the year 1997, the variable offinancial leverage, and size significantly influence PER. The Third manufacturing industrial sector is significant for those two conditions, before and after the year 1997.