The Effect of Share Ownership Structure on the Performance of Manufacturing Companies Listed on the Indonesia Stock Exchange

  • Faisal Fadly Pulungan
  • La Ane universitas negeri medan
  • Azizul Kholis universitas negeri medan
  • Abdul Fatah Hassanudin universitas Garut
Keywords: Corporate Performance, Institutional Ownership, Managerial Ownership

Abstract

The problem in this study is whether the ownership of institutional and managerial ownership has an influence on the company's performance. This study aimed to examine the effect of institutional ownership and managerial ownership on the performance of companies listed on the Indonesian Stock Exchange (BEI). The population in this study were 138 companies listed in Indonesia Stock Exchange in the period 2018-2020. Sample selection is done by using purposive sampling method, and acquired 21 companies into the sample during the three years of the study. Data collection techniques used is by downloading the manufacturing company's financial statements in www.idx.co.id. Data analysis technique used is multiple regression model with the equation Y = 0.428 + 0,071X1 + 0,348X2. The results showed that the simultaneous ownership of institutional and managerial ownership has an effect on ROA where sig 0.040 <0.05. The results also show that institutional ownership and managerial ownership has the effect of 7.2% on performance. Conclusions from the study suggested that the hypothesis is accepted. Institutional ownership and managerial ownership has a significant influence on the Return on Assets as a measure of the performance of the company

Published
2022-03-29
Section
Articles