THE INFLUENCE OF NET PROFIT MARGIN (NPM) AND EARNING PER SHARE (EPS) ON MARKET CAPITALIZATION IN BUMN CONSTRUCTION SECTOR LISTED ON INDONESIA STOCK EXCHANGE PERIOD 2012-2017
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Date
2020
Journal Title
Journal ISSN
Volume Title
Publisher
International Journal of Psychosocial Rehabilitation, Vol.24, Issue 02
Abstract
This study aims to determine the effect of financial performance of the company's market
capitalization. Independent variables was used in this study is financial performance, consists of Net Profit
Margin (NPM) and Earning Per Share (EPS), while the dependent variable is the market capitalization. The sample
in this study consisted of 4 BUMN field of construction listed in the Indonesia Stock Exchange 2012-2017 were
selected based on specific criteria using purposive sampling method. Methods of data analysis used in this
study is multiple linear regression. The results of simultaneous showed that the NPM, and EPS are simultaneously
effect on market capitalization. and partially showed that only variables NPM was effect on market capitalization,
whereas EPS no effect on market capitalization.
Description
Keywords
Financial Performance, Net Profit Margin (NPM), Earning Per Share (EPS), the Market Capitalization