THE INFLUENCE OF CAPITAL STRUCTURE, TRADING VOLUME, AND MARKET CAPITALIZATION ON STOCK RETURN (AN EMPIRICAL STUDY ON LQ45 INDEX COMPANIES LISTED IN THE INDONESIA STOCK EXCHANGE PERIOD 2009-2013) | ELECTRONIC THESES AND DISSERTATION

Electronic Theses and Dissertation

Universitas Syiah Kuala

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THE INFLUENCE OF CAPITAL STRUCTURE, TRADING VOLUME, AND MARKET CAPITALIZATION ON STOCK RETURN (AN EMPIRICAL STUDY ON LQ45 INDEX COMPANIES LISTED IN THE INDONESIA STOCK EXCHANGE PERIOD 2009-2013)


Pengarang

RAHMI NABILA - Personal Name;

Dosen Pembimbing



Nomor Pokok Mahasiswa

1101103040009

Fakultas & Prodi

Fakultas / / PDDIKTI :

Subject
-
Kata Kunci
-
Penerbit

Banda Aceh : Universitas Syiah Kuala., 2015

Bahasa

Indonesia

No Classification

-

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Abstract
Investors make a lot of effort to choose the best companies to invest. They
would consider so many aspects in order to determine the right company based on
the risk they would want to take. This paper analyze the impetus of the movement
in stock return by taking into account the capital structure, trading volume, and
market capitalization as the determinants. Using multiply linier regression model,
we observe the LQ45 Index as it contains the most liquid companies which usually
also have bigger market value amongst the companies listed in Indonesia Stock
Exchange. We examined how capital structure, trading volume, and market
capitalization promote the fluctuation on stock return of companies of LQ45 Index
from year 2009-2013 using secondary data with lagged time. The sample was 24
companies consistently exist in LQ45 Index with the total of 120 sample s. The
data was reduced to 90 samples to exclude the outliers.
The results suggest that capital structure, trading volume, and market
capitalization are the determinants of stock return. However, it appears that
market capitalization affects stock return in adverse manner which indicates that
the higher level of market capitalization drives the stock return to declines and
vice versa.
Key words: Stock return, capital structure, trading volume, market
capitalization, LQ45

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