Factors affecting stock price of maritime companies in Indonesia

Abstract

The sea transportation or maritime industry is a strong force for Indonesia which consists of several islands; meanwhile, business in this field has great potential to be developed, especially in the capital market. Therefore, this study examines four predictors that affect stock prices in maritime companies listed on the Indonesia Stock Exchange in 2013 - 2019. The hypothesis was formulated using panel data regression analysis tools with the least square dummy variable technique. The results showed that profitability and financial leverage are robust predictors of the hierarchical regression parameters, while the firm size and market value are not proven as predictors. This study presents the originality of the stock prices determinant in the maritime industry to guide investors' decisions and company management to optimize firm value.