Study reveals key factors influencing stock prices in consumer goods industry
The study looked at how different financial factors like Return on Equity, Current Ratio, Debt to Equity Ratio, and Firm Size affect the Price Earnings Ratio of consumer goods companies on the Indonesia Stock Exchange from 2018 to 2020. They found that Return on Equity, Current Ratio, and Debt to Equity Ratio individually impact the Price Earnings Ratio significantly, while Firm Size does not. However, when all factors are considered together, they collectively have a significant influence on the Price Earnings Ratio of these companies.