Lampiran Data Financial leverage, Operating Leverage dan Stock Return

Abstract

Competition in the manufacturing industry requires companies to be more competitive in order not to get caught in the slump of competition. In this case the company requires a large cost in order to stay awake in improving company performance. The financial problem faced by the company is the problem of corporate financing. The way to finance a company's funding needs is from external sources of funds such as loan capital. Companies using loan capital mean the company has leveraged. The more use of loan capital poses a risk to the company, as investors in determining investment decisions often see the capital structure within the company. When companies do a lot of production using debt, investors tend to shift to other sectors or negotiate to management to provide big rewards.

            This study aimed to examine the effect of financial leverage and operating leverage on stock return. The population of this study were 135 industrial manufacturing company listed on the Indonesia Stock Exchange (IDX) with a sample of 11 companies during the years 2011-2015. This study used purposive sampling method. The data analysis technique used in this study is multiple regression analysis. The results of this study concluded that concludes that the financial leverage and operating leverage no significant effect on stock return. While partially operating leverage effect on stock return, but no effect of financial leverage on stock return.