Open AccessRole Analysis of Debt Equity Ratio on Dividend Payout Ratio, Stock Return and Earning Per Share with Firm Size and Return on Equity as Intervening Variable (Case Study of Infrastructure Companies Listed in Indonesia Stock Exchange Year of 2015-2019)
Author(s) -
Ulfi Nurfaeda,
Tantri Yanuar Rahmat Syah
Publication year - 2021
Publication title -
international journal of research and review
Language(s) - English
Resource type - Journals
eISSN - 2454-2237
pISSN - 2349-9788
DOI - 10.52403/ijrr.20211138
Subject(s) - debt to equity ratio , return on equity , dividend payout ratio , business , dividend , capital structure , gearing ratio , equity (law) , variables , equity ratio , debt ratio , earnings per share , monetary economics , debt , financial system , economics , finance , stock exchange , dividend policy , statistics , population , demography , mathematics , sociology , political science , law , nonprobability sampling
The Indonesian government has been catching up with infrastructure development in recent years. In carrying out infrastructure development, funding and determination of the optimum capital structure are needed because this will affect a company's financial structure. The company's source of funds comes from foreign capital and equity as measured by the debt-to-equity ratio. However, in realizing the optimal determination of capital structure will affect several other financial ratios, therefore the aim of this study is to identify and examine the relationship between DER and DPR, SR and SR which uses FS and ROE as intervening variables. The data used were fourteen companies engaged in building construction and toll road construction. The results of this study indicate that there is a significant positive relationship between DER on FS, ROE, EPS and DPR, FS on EPS and ROE on DPR and EPS. The DER variable on DPR and EPS which is moderated by ROE and FS also has a significant positive relationship. On the other hand, the relationship between FS and DPR and the DER variable against DPR moderated by FS, show a significant negative, while the relationship between DER and SR is negative and insignificant. In addition, the relationship between FS and ROE on SR and DER against SR which is moderated by FS and ROE shows a positive but insignificant.Keywords: Debt Equity Ratio, Firm Size Earning Per Share, Return on Equity, Dividend Payout Ratio dan Stock Return.