The Effect of Return On Equity and Earning Per Share on Stock Price

Abstract

This study aims to determine the effect of Return On Equity (ROE) and Earning Per Share (EPS) on Stock Price. This research was conducted at the Automotive and Component Subsector Manufacturing Companies Listed on the Indonesia Stock Exchange from 2015 to 2019. The research method used in this research is descriptive verification method. The sampling technique used purposive sampling method. The data used are secondary data which are analyzed through classical assumption test, multiple regression analysis, coefficient of determination test, t test and f test. The results of this study indicate that partially Return On Equity there is no influence on stock prices, Earning Per Share has an effect on stock prices. Meanwhile, Return On Equity and Earning Per Share have an effect on stock prices simultaneously.