Pengaruh Profitabilitas, Konservatisme Akuntansi, Dan Kepemilikan Manajerial Terhadap Earning Response Coefficient Pada Perusahaan Consumer Goods Yang Terdaftar Di Bursa Efek Indonesia

Abstract

Earnings information is a reference for investors to invest in the company. Accounting profit is very closely related to the company's valuation which is presented by the stock price earnings response coefficient (ERC). This study aims to determine the effect of profitability, accounting conservatism, and managerial ownership on the earning response coefficient. The population in this study are consumer goods companies listed on the Indonesia Stock Exchange in 2017-2019. The total sample is 26 companies with a period of 3 years, the total sample is 78 companies using purposive sampling technique. The results of this study indicate that profitability and managerial ownership have a positive and significant effect on the earning response coefficient. In contrast to accounting conservatism, it does not affect the earning response coefficient. This is because profitability can show the company's ability to generate profits. As for managerial ownership, the greater the proportion of managerial ownership, the management will try as optimally as possible to improve the quality of earnings by meeting the interests of investors or shareholders. This is different from the fluctuating earnings accounting conservatism resulting in lower earnings predictive power in companies that apply the accounting conservatism principle.