Abstract

This study is important in analyzing the effect of return on assets, return on equity, net interest margin, loan-to-deposit ratio, and interest rate on the stock prices of banks categorized under KBMI 3 and KBMI 4 in Indonesia before, during, and after the COVID-19 pandemic from a financial perspective for the period 2019-2023. This study uses a quantitative approach with panel data regression analysis to evaluate the effects of the selected financial ratios and stock prices. Data were collected from the financial reports of selected banks, with additional stock price data sourced from IDX and interest rate data from Bank Indonesia (the central bank). The analysis uses panel data regression, incorporating the Common Effect Model (CEM), Fixed Effect Model (FEM), and Random Effect Model (REM) to identify the most suitable model for this study. REM is the chosen model, and the findings reveal that ROE, interest rate, and LDR significantly influence stock prices, with ROE and interest rate having a positive effect while LDR has a negative effect. Conversely, ROA and NIM have no significant impact on stock prices within the sample. The F-test results indicate that the model is statistically significant. Banks' stock prices before, during, and after the COVID-19 pandemic are not statistically different.

Keywords: authentic assessment, first-year accounting education, alternative assessments, scaffolded learning tasks, ASX company analysis

How to Cite:

Setiawan, C. & Naufal, F., (2026) “Analysis of the Effect of ROA, ROE, NIM, LDR, and Interest Rates on the Stock Prices of KBMI 3 and KBMI 4 Banks in Indonesia Before, During, and After the COVID-19 Pandemic (2019-2023)”, Australasian Accounting, Business and Finance Journal 20(3): 8, 144–157. doi: https://doi.org/doi.org/10.14453/aabfj.v20i3.08

Rights:

In Copyright