COMPARATIVE ANALYSIS DEBT TO EQUITY RATIO AND PRICE TO BOOK VALUE IN STATE-OWNED ENTERPRISES AND PRIVATE COMPANIES (LITERATURE STUDY ON CONSTRUCTION AND BUILDING SUB SECTOR EMITENTS) Dudi Hendra Fachrudin, dudi.hendra@gmail.com (a) Ratih Hurriyati, ratih@upi.edu (b) Ikin Solikin, solikin65@gmail.com (b) Cahyat Rohyana, cahyatrohyana@poltekpos.ac.id (c)
(a)Sekolah Tinggi Manajemen Logistik Indonesia, Bandung 40151, Jawa Barat, Indonesia
(b)Universitas Pendidikan Indonesia, Bandung 40154, Jawa Barat, Bandung, Indonesia
(c)Politeknik Pos Indonesia, Bandung 40151, Jawa Barat, Indonesia
Abstract
This research was conducted to determine the comparison of Debt to Equity Ratio (DER) and Price to Book Value (PBV) between State-Owned Enterprises (SOEs) and private companies that have been listed on the Indonesia Stock Exchange in the category of Building Construction Sub Sector. The problem that often occurs was conducting fundraising through debt which causes high DER levels. However, from previous studies it was known that there is a positive relationship between the DER and PBV. This research was conducted qualitatively with analytical descriptive methods and used secondary data obtained from the IDX. The results showed that the DER level of SOEs was greater than private issuers and the industry average, and the PBV of SOEs issuers was smaller than PBV of private issuers and the industry average. The DER level was inversely proportional to the PBV level, and contradict with the previous studies.
