Analysis of Exchange Rate Factors and Interest Rate on Stock Price of Pharmaceutical Companies in Indonesia (Cases during in Covid-19 Pandemic) Dewi Kartikaningsih(a,b), Nugraha(a),Maya Sari(a)
a) Sekolah Pasca Sarjana Universitas Pendidikan Indonesia
dewikartikaningsih[at]upi.edu
b) Sekolah Tinggi Manajemen LABORA
Abstract
This study aims to determine the effect of the exchange rate and the interest rate of Indonesia on the stock prices of pharmaceutical companies in Indonesia. Data of this research used secondary data from pharmaceutical companies listed on the Stock Exchange in the period July 2019 to May 2020. Population and samples of this study were state-owned pharmaceutical companies listed on the Indonesia Stock Exchange. The research period was 12 months, July 1, 2019 until May 31, 2020. Data collection of this study considered the world economic conditions and Indonesia, which was weakening because of the Covid-19 disaster and based on the phenomenon that the pharmaceutical business would reap profits amid the Covid-19 pandemic disaster. This research used multiple linear regression analysis method assisted by Eviews 9. The results showed that interest rates and exchange rates affected the stock prices of pharmaceutical companies in Indonesia. The recommendations of this study can assist investors in investing during the Covid-19 pandemic and for next research can prolong the period of data collection and add other pharmaceutical companies outside State-owned companies and other macroeconomic factors such as inflation rates and gross domestic product.
