ANALYSIS OF FACTORS AFFECTING BANKING LIQUIDITY AND PROFITABILITY: CASE STUDY OF STATE-OWNED BANKS LISTED ON THE INDONESIA STOCK EXCHANGE PERIOD 2017 – 2019
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Keywords

Current Ratio (CR)
Return on Asset (ROA)
Stock Price
Liquidity
Profitability

How to Cite

Octavia, E., Aziizah, A. A. N., Puteri, V. K., Pamasti, D., Permata, A., & Tama, F. W. (2022). ANALYSIS OF FACTORS AFFECTING BANKING LIQUIDITY AND PROFITABILITY: CASE STUDY OF STATE-OWNED BANKS LISTED ON THE INDONESIA STOCK EXCHANGE PERIOD 2017 – 2019. CENTRAL ASIA AND THE CAUCASUS, 23(1), 4508-4516. https://ca-c.org/CAC/index.php/cac/article/view/444

Plaudit

Abstract

Introduction: This study analyze the factors affecting banking liquidity and profitability of state-owned banks listed on the Indonesia Stock Exchange Period 2017-2019
Objective of the paper : This study was conducted to determine and test the effect of the variable Return on Asset (ROA), Current Ratio, and Stock Price on
Liquidity and Profitability at state-owned commercial banks listed on IDX for the 2017-2019 period.
Method: This study uses secondary data using quantitative methods. There are 4 banks that are researched for 3 years on an annual basis from 2017 to 2019. The analysis used is multiple linear regression analysis. The data were processed using the Eviews 9 application by setting a significance level of 0.05 for testing the hypothesis.
Findings : This study finds that both Return On Assets (ROA) and Current Ratio (CR) have a significant effect on the stock prices.
Conclusion : It shows that the Return On Assets (ROA) has a positive and significant effect on stock prices. On the other hand, Current Ratio (CR) has a negative and significant effect on stock prices.

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