THE INFLUENCE OF FINANCIAL AND NON FINANCIAL INFORMATION ON RETURN INITIALS IN COMPANIES THAT CONDUCT IPO IN INDONESIA STOCK EXCHANGE (Empirical Study on Companies Listing on the IDX Period 2010-2016)

Abstract

This study aims to determine the initial rate of return, flipping activity and abnormal return of initial public offering (IPO) in Indonesia Stock Exchange in the period 2010-2016. This study also examines the factors that influence initial return, flipping activity and abnormal return at the IPO. By purposive sampling method, the sample used is 82 non-financial companies listed in Indonesia Stock Exchange. Data analysis used one sample t-test and Generalized Least Square test.
Based on the result of data analysis by using Generalized Least Square test toward initial return variable relation, it shows that underwriter reputation and Debt to Equity Ratio (DER) have significant effect and negative direction. In the flipping activity variable, the reputation of the underwriter and the percentage of stock offerings have a significant and negative direction, while the company's age, Return on Asset (ROA) and Debt to Equity Ratio (DER) have a significant and positive direction. While in abnormal return variable showing company age and Earning Per Share (EPS) have a significant effect and negative direction, while the percentage of share offer, Return on Asset (ROA) and Debt to Equity Ratio (DER) have a significant effect and lead to positive direction. Initial initial return has no significant effect on Flipping Activity. While initial Initial return and Flipping Activity have a significant effect with positive direction to Abnormal return during initial public offering (IPO) in 2010-2016 at Indonesia Stock Exchange.
Keyword : Initial return, flipping activity, abnormal return, underwriter reputation,and percentage of stock offering