ANALYSIS THE EFFECT OF FUNDAMENTAL AND TECHNICAL VARIABLES ON STOCK PRICE BY STRUCTURAL EQUATION MODELING (A CASE STUDY BANK LISTED AT JAKARTA STOCK EXCHANGE)

• Main Author: BOWONUGRAHA (NIM : 23404030); Pembimbing : Ir. Imam Istiyanto,MBA. , BUDI
• Format: Theses
• Language: Indonesia
• Online Access: https://digilib.itb.ac.id/gdl/view/19967
• Institution: Institut Teknologi Bandung

The recent rapid development of economy and business has pushed all business entities involved to have a strategy in managing their organization in order to compete and maintain their businees activities. One of the most important aspect that needs to be managed properly is the capital. Every company has to acquire sufficient funds to finance its business. This can be done from many source. <br /> <br /> <br /> One of the modem alternative source is the capital market, since this capital source promises various benefits, hence, companies can collect an amount of fund from the public which will be used as capital to perform their business. <br /> <br /> <br /> The stock price as the company value indicator is influenced by many variables, and collectively they form the market strength which influences stock transaction. <br /> <br /> <br /> Some of the variables used in this research are : the dependent variable is stock price, while the independent variables are Return On Investment, Current Rasio, inflation rate, time deposit interest rate, money in circulation (M2), US dollar-Rupiah exchange rate, stock sale volume and past stock price. <br /> <br /> <br /> This research used the Sturctural Equation Modeling (SEM). SEM is a multi-variate technique capable of combining aspects of multiple-regresion and analysis factor to estimate various inter variable connection and dependency simultaneously. <br /> <br /> <br /> To focus the issue, the research was only conducted in Indonesian Banking. Seventeen bank sample were taken to get the global picture, all of them registered in Jakarta Stock Exchange for the periode of 2001-2004. To simplify the analysis, the 17 bank were then grouped into five cluster based on their character commonalities by using Cluster Analysis Technicque. The Five banks then analyzed as the representation of each cluster, later on considered as the representation of all 17 banks and thus, generally represent current banking condition in Indonesia.After structural model was made for each cluster representatives, the research indicates that price of Bank BNI and Bank BCA stock were only influenced by past stock price. While for Bank Danamon, the price was infuenced by money in circulation. For Bank Lippo, the stock price was influenced by the M2 and also by the interest rate variable, and for Bank Nusantara Parahyangan, the stock price was significantly influenced by the exchange rate variable.