Stock Prices Predicted by Bankruptcy Condition?
This research had two objectives. First, it determined the prediction of the method of Altman Z-Score whether it could classify banking positions, bankruptcy, or financial distress in the go-public bank in Indonesia Stock Exchange. Second, it was to know the influence of value position of Altman Z-S...
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| Format: | Article |
| Language: | English |
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Bina Nusantara University
2018-07-01
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| Series: | Binus Business Review |
| Subjects: | |
| Online Access: | https://journal.binus.ac.id/index.php/BBR/article/view/4103 |
| _version_ | 1827834087546552320 |
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| author | Irawati Junaeni |
| author_facet | Irawati Junaeni |
| author_sort | Irawati Junaeni |
| collection | DOAJ |
| description | This research had two objectives. First, it determined the prediction of the method of Altman Z-Score whether it could classify banking positions, bankruptcy, or financial distress in the go-public bank in Indonesia Stock Exchange. Second, it was to know the influence of value position of Altman Z-Score on the stock price. The population was 84 banking company listed on the Indonesia Stock Exchange in 2010-2015. The sampling method was purposive sampling. Moreover, data analysis method used was a simple regression analysis. For data processing, it used software Eviews 8. The Z-Score calculations predict the potential bankruptcy of go-public bank in 2010-2015. All results show that Z-Score has the small score of 1,81. It can be said there is a potential bankruptcy. For t-test, it can be concluded that Z-Score has the positive and significant effect on the stock price. The ability of Z-Score values in explaining the stock price is 95,50% while the remaining 4,50% is influenced by other variables that are not analyzed in the research. With some weaknesses of Altman’s Z-Score model, this research has the implication for management bank. It improves the financial performance for the future to avoid opportunity bankruptcy prediction. The results show how the effect of bankruptcy on banking stock prices. |
| first_indexed | 2024-03-12T05:44:52Z |
| format | Article |
| id | doaj.art-d2382ec043c8408cb9437899c39f4730 |
| institution | Directory Open Access Journal |
| issn | 2087-1228 2476-9053 |
| language | English |
| last_indexed | 2024-03-12T05:44:52Z |
| publishDate | 2018-07-01 |
| publisher | Bina Nusantara University |
| record_format | Article |
| series | Binus Business Review |
| spelling | doaj.art-d2382ec043c8408cb9437899c39f47302023-09-03T05:45:10ZengBina Nusantara UniversityBinus Business Review2087-12282476-90532018-07-019210511410.21512/bbr.v9i2.41033304Stock Prices Predicted by Bankruptcy Condition?Irawati Junaeni0Perbanas InstituteThis research had two objectives. First, it determined the prediction of the method of Altman Z-Score whether it could classify banking positions, bankruptcy, or financial distress in the go-public bank in Indonesia Stock Exchange. Second, it was to know the influence of value position of Altman Z-Score on the stock price. The population was 84 banking company listed on the Indonesia Stock Exchange in 2010-2015. The sampling method was purposive sampling. Moreover, data analysis method used was a simple regression analysis. For data processing, it used software Eviews 8. The Z-Score calculations predict the potential bankruptcy of go-public bank in 2010-2015. All results show that Z-Score has the small score of 1,81. It can be said there is a potential bankruptcy. For t-test, it can be concluded that Z-Score has the positive and significant effect on the stock price. The ability of Z-Score values in explaining the stock price is 95,50% while the remaining 4,50% is influenced by other variables that are not analyzed in the research. With some weaknesses of Altman’s Z-Score model, this research has the implication for management bank. It improves the financial performance for the future to avoid opportunity bankruptcy prediction. The results show how the effect of bankruptcy on banking stock prices.https://journal.binus.ac.id/index.php/BBR/article/view/4103stock price, bankruptcy, Altman Z-Score |
| spellingShingle | Irawati Junaeni Stock Prices Predicted by Bankruptcy Condition? Binus Business Review stock price, bankruptcy, Altman Z-Score |
| title | Stock Prices Predicted by Bankruptcy Condition? |
| title_full | Stock Prices Predicted by Bankruptcy Condition? |
| title_fullStr | Stock Prices Predicted by Bankruptcy Condition? |
| title_full_unstemmed | Stock Prices Predicted by Bankruptcy Condition? |
| title_short | Stock Prices Predicted by Bankruptcy Condition? |
| title_sort | stock prices predicted by bankruptcy condition |
| topic | stock price, bankruptcy, Altman Z-Score |
| url | https://journal.binus.ac.id/index.php/BBR/article/view/4103 |
| work_keys_str_mv | AT irawatijunaeni stockpricespredictedbybankruptcycondition |