INFLUENCE OF PROSPECTUS INFORMATION AND MACRO ECONOMICS ON INITIAL RETURNS TO COMPANIES THAT UNDERGO INITIAL PUBLIC OFFERING (IPO) ON THE INDONESIA STOCK EXCHANGE (IDX) Rinaldi Lubis1*,Isfenti Sadalia2, Nisrul Irawati2
Magister Management, Pasca Sarjana Universitas Sumatera Utara
Abstract
Underpricing is a phenomenon that often occurs throughout the world, including in Indonesia during an Initial Public Offering (IPO), which means that the price at the time is lower than the price of the shares traded on the secondary market, the difference in price is defined as the initial return. This study examines the effect of ROA, firm size, firm age, inflation and interest rates on initial return. The population in this study were all companies that conducted Initial Public Offerings (IPOs) on IDX from 2016 to April 2022. The sample selection was carried out by purposive sampling method and obtained a sample of 175 companies. This study uses multiple linear regression analysis. The results of the t test show that inflation and interest rates have a significant positive effect on initial return partially. While ROA, firm size and firm age have no significant effect on initial return partially. F test results show that all variables simultaneously affect the initial return.
Keywords: underpricing, initial return, initial public offering, macroe conomics, prospectus
