FUNDAMENTAL ANALYSIS IN ASSESSING THE FAIRNESS OF STOCK PRICE AND INVESTMENT DECISIONS IN THE CAPITAL MARKET USING THE APPROACH OF PRICE EARNING RATIO (Study On The Company's Property Sector, Real Estate, And Building Construction)

What is it about?

The study aims to determine and analyze a stock price at the time of the 1st quarter closing is a reasonable share price, and determine what decisions will be made afterwards.In this research is quantitative descriptive research with the approach method of Priece Earning Ratio (PER).This research examines the company's business sector, real estate, and building construction listed on the Indonesia stock Exchange that has been on the exchange in the period of 2014-2018.The data source used is secondary data. The sampling techniques in this study used purposive sampling techniques, with the specified criteria obtained by 18 companies that were used as samples.The results of this study showed that 13 stock prices of companies were in overvalued position is ACST, ADHI, BEST, LPKR, MTLA, NRCA, PTPP, PWON, RDTX, SMRA, SSIA, TOTL, WIKA, and decided to sell the shares.As for the 5 stock prices The other company is at an undervalued position is CTRA, GPRA, JKON, JRPT, MKPI and takes a buying decision.

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Photo by Jason Briscoe on Unsplash

Photo by Jason Briscoe on Unsplash