Published: 2025-08-07

The Influence of Internal and External Factors on Stock Price Fluctuations in Manufacturing Companies

DOI: 10.35870/ijmsit.v5i2.5213

Fredy Arios Tiblola, Ferdinant Nuru, Harum Putri Prawitaningrum
  • Fredy Arios Tiblola: Sekolah Tinggi Ilmu Ekonomi Bukit Zaitun Sorong
  • Ferdinant Nuru: Sekolah Tinggi Ilmu Ekonomi Bukit Zaitun Sorong
  • Harum Putri Prawitaningrum: Sekolah Tinggi Ilmu Ekonomi Bukit Zaitun Sorong

Abstract

As far as stock prices are concerned, the consideration of both internal and external factors, is very necessary. In this study, we use financial ratios and interest rates as variables to study from 2019 - 2023 the stock prices of manufacturing firms listed on the Indonesia Stock Exchange (IDX). Internal variables investigated here include Return on Assets (ROA), Debt to Equity Ratio (DER) and Earnings Per Share (EPS); while the external variable to be considered is the benchmark interest interest rate. The data used in this study is from the company's own annual reports and internet sources such as Yahoo Finance. A regression model with a Fixed Effect approach took into account both the differences in company characteristics. These analyses shed light on problems such as whether the ROA and EPS affect stock price positive effects at the expense of DER. Instead, we find a significant negative effect on stock prices by benchmark interest rate. The adjusted R² nugget shows that the model is capable of shedding 0.961 units lighter elsewhere in explaining stock price changes. These results are able to help investors and company managers make their market performance related decisions more intelligently by revealing the factors that influence stock price movements.

Keywords

Stock Price Fluctuations ; Internal Factors ; External Factors ; Manufacturing Companies ; Indonesia Stock Exchange

Peer Review Process

This article has undergone a double-blind peer review process to ensure quality and impartiality.

Indexing Information

Discover where this journal is indexed at our indexing page to understand its reach and credibility.

Open Science Badges

This journal supports transparency in research and encourages authors to meet criteria for Open Science Badges by sharing data, materials, or preregistered studies.

No cover image available.

Article Metrics

If the link doesn't work, copy the DOI or article title for manual search (API Maintenance).

Share:
Article Information

This article has been peer-reviewed and published in the International Journal of Management Science and Information Technology. The content is available under the terms of the Creative Commons Attribution 4.0 International License.

  • Issue: Vol. 5 No. 2 (2025)

  • Section: Articles

  • Published: August 7, 2025

AI Research Hub

This article is indexed and available through various AI-powered research tools and citation platforms. Our AI Research Hub ensures that scholarly work is discoverable, accessible, and easily integrated into the global research ecosystem. By leveraging artificial intelligence for indexing, recommendation, and citation analysis, we enhance the visibility and impact of published research.

Semantic Scholar Scite Dimensions Connected Papers

Similar Articles

You may also start an advanced similarity search for this article.

Most read articles by the same author(s)