Advances in Social Science, Education and Humanities Research, volume 377 1st International Conference on Applied Economics and Social Science 2019 (ICAESS 2019)

FUNDAMENTAL ANALYSIS IN ASSESSING THE FAIRNESS OF PRICE AND DECISIONS IN THE CAPITAL USING THE APPROACH OF PRICE EARNING RATIO (Study on the Company's Property Sector, Real Estate, and Building Construction)

1stGunady Fredyansyah Pasaribu 2ndDwi Kartikasari, S.T., M.B.A Department of Applied Business Administration Department of Applied Business Administration Politeknik Negeri Batam Politeknik Negeri Batam Batam City, Riau Island Indonesia Batam City, Riau Island Indonesia [email protected] [email protected]

Abstract- The study aims to determine and analyze a stock In this study, researchers will use the fundamental price at the time of the 1st quarter closing is a reasonable share analysis of the financial ratios on a company listed on the price, and determine what decisions will be made afterwards. stock exchanges in the property, real estate, and building In this research is quantitative descriptive research with the approach method of Price Earning Ratio (PER). This research construction sectors, with the price earning ratio (PER) examines the company's business sector, real estate, and approach method. The result of this research is very helpful building construction listed on the Indonesia for prospective to take an investment decision that has been on the exchange in the period of 2014-2018.The which company will be purchased in a data source used is secondary data. The sampling techniques in reasonable and inexpensive condition. As for the investors this study used purposive sampling techniques, with the specified criteria obtained by 18 companies that were used as who have invested capital or invest in the market, they can samples. The results of this study showed that 13 stock prices know the right time to release its shares when the price is of companies were in overvalued is ACST, ADHI, already high or expensive. The method used is also very BEST, LPKR, MTLA, NRCA, PTPP, PWON, RDTX, SMRA, easy to apply in the calculation of the fairness of the stock SSIA, TOTL, WIKA, and decided to sell the shares. As for the price and is highly recommended for use. Based on the 5 stock prices The other company is at an undervalued position is CTRA, GPRA, JKON, JRPT, MKPI and takes a buying background outlined above, the author wants to do the decision. research with the title: "Fundamental Analysis in assessing the fairness of stock price and investment decision in the Keyword- Stock Price, Investment Decision, PER Method capital market using the method approach Price Earning Ratio". In this case the author will use descriptive research I INTRODUCTION with a quantitative data approach. A. Background

Savings and deposits are a form of investment, in which case savings and deposits are deemed to be able to provide B. Formulation Of The Problem income for investors. Investment is an activity spending Based on the background above, the author formulates some money that we have to replace the money with the problem as follows: that aim to get return or profit in the Future [4].  Is the stock price of a company listed on the have a type of media that can be used to invest such as, on March 29, 2019 a reasonable savings, property investments, stock investments, ? investment bonds (Treasury) and others. There are 2 types  What are the recommendations of investment of savings that can be done by such communities, decisions that should be taken by existing investors conventional savings, and deposits savings. There are two and investors from the stock price of companies advantages that can be obtained from investing in capital listed on the secondary market on March 29, 2019 markets namely, capital gains and . Capital gains are the difference between the purchase price and the selling C. Research Purposes price, while the dividend is the net profit share given by the The purpose of this research is: company to the shareholders and derived from the profit generated by the company [2].

Copyright © 2019, the Authors. Published by Atlantis Press. This is an open access article under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/). 105 Advances in Social Science, Education and Humanities Research, volume 377

 To find out if the price recorded in the secondary how the current and future conditions will have a market at the time of closure in 2018 is a reasonable good impact [3]. price.  To know the decision that should be taken based on D. Intrinsic value and market value the price recorded in the secondary market at the Intrinsic value is a value that shows the original price of time of closure in the year 2018 with the calculation the company, while the market value is a value resulting of stock price fairness. from various calculations on the demand and supply made in the capital market Own. D. Significance of Research 1. Analysis of Financial Ratios The benefits of this research are: Profitability Ratio 1. Practical Benefits:  Return On Equity (ROE)  Be a reference for related companies to consider the financial performance of the company to attract the

attention of investors.  Provide input to investors/prospective investors in  Dividend Per Share (DPS) assessing the fairness of the stock price of a company, so it can help the investors/prospective investors to make a decision in investing with the analysis considering Fundamental. Assisting authors in developing the knowledge decision making 2. Value Market Ratio investing. As well as increasing knowledge and According to Kodrat & Indonanjaya [3], this ratio understanding in investing in the future, there are measures prices. several factors affecting the stock price of a company  Earning Per Share (EPS) itself. 2. Theoretical Benefit: Assisting authors in developing the knowledge decision making investing. As well as increasing knowledge and understanding in investing in the future, there are several  Dividend Payout Ratio (DPR) factors affecting the stock price of a company itself.

II LITERATURE REVIEW A. Capital Market 3. Approach Price Earning Ratio (PER) Capital Market (Capital Market) is a market for a variety Expected level of growth of -term financial instruments that can be sold. Capital ) Market is a funding platform for companies and other institutions and as a means for investment activities [1]. Thus, the capital market provides facilities as a means and  EPS Estimation infrastructures of buying and selling activities and other related activities. Financial instruments traded on capital markets are long-term instruments.  DPS Estimation B. Stock According to Tandelilin [7], the stock is interpreted as a ) letter stating the proof of ownership of the company's assets that have .  Calculating the implied return

C. Stock Price Assessment  According to Simatupang [5], the fair value of the shares is the value given by the or the capital market against any stock traded on the stock  Calculating PER exchange with the guidelines in every industry of the estimation company. In conducting an analysis the of a stock can be done with two different methods of its

characteristics. The two methods mentioned are: of technical analysis is a method used to estimate by observing changes or price  Determine the intrinsic value of shares movements over time ago [3].

 Fundamental analysis fundamental analysis can be said as an investment instrument that has a strong E. Investment decision foundation or intrinsic value that can be assessed

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Calculation results using a price earning ratio (PER) Bangun Perasada Tbk (TOTL), and Wijaya Karya (Persero) approach will be used as a consideration of the current price Tbk (WIKA). listed on the Indonesia Stock Exchange. With the following D. Type and source of Data description: 1. If intrinsic value (NI) > The price of stock listed on Types and sources data used in this study are secondary the current stock exchange is considered too cheap data. Data collection techniques on this research are (undervalued), and the decision to be taken is to buy documentation. Documentation is a collection of documents the stock or withhold when it already has a stock that can provide information or evidence relating to the The. process of systematic collection and management of 2. When the intrinsic value (NI) < of the stock price documents. The documentation conducted by researchers in listed on the current stock exchange is valued too this research is to compile the archive data obtained from expensive (overvalued), and the decision to be taken the Indonesia’s Stock Exchange (IDX). Data analysis is to sell the stock. method is used to analyze the data that has been collected 3. If the intrinsic value (NI) = The price of the stock using analysis of Price Earning Ratio (PER) method with listed on the current stock exchange, the stock price the following description: is reasonable (correctly valued), and the decision to 1. Fairness assessment of stock price to assess the fairness be taken is not to buy the stock or do not sell if it of the stock price needs to be calculated to calculate already has a stock The. some of the necessary criteria:  Description of the development of the company's III METHOD OF RESEARCH performance report. A. Types of Research  Description of the development ratio of profitability In this study used descriptive research in which the and ratio to market value is by calculating ROE, research has a purpose for developing existing and real EPS, DPS, and DPR concepts and not conducting hypotheses. The approach that  Finally, the PER approach is carried out is also done in this research is a quantitative approach; it’s 2. Investment decision called quantitative method because of research data in the  After determining the intrinsic value then compared form of numbers and analysis [6]. So in this study will to the stock price listed on the Indonesia’s stock analyze a fairness of the stock price with a price earning exchange at this time (overvalued, undervalued, ratio (PER) approach. correctly value).

 Decision making will be made (buy, hold, Mansell). B. The focus of Research Scope research is a limitation that facilitates the IV RESULTS AND DISCUSSION implementation of research to be more effective and efficient in separating certain aspects of an object. The Results of research will discuss the acquisition of scope of this research is the company's sector of property, secondary data, the analysis of fundamental analyses and the real estate, and construction of the building services listed in comparison between intrinsic value and stock price. the composite stock price Index (IDX) Indonesia Stock A. The development of annual financial report of each Exchange (IDX). company period 2014-2018.

TABLE I. EARNING AFTER TAX (IN MILLION RUPIAH) C. Population and Samples Populations in this study are the entire service sector of Emiten EARNING AFTER TAX property, real estate, and building construction with total Code 2014 2015 2016 2017 2018 population are 73 companies. The sampling technique used ACST 103,799 45,386 64,360 149,702 8,101 ADHI 326,616 878,754 404,657 524,579 513,258 is a technique of non-profitability sampling i.e. purposive BEST 391,353 214,155 337,312 481,720 420,291 sampling where determines the sampling by weighing CTRA 1,794,143 1,753,690 1,143,006 966,452 1326,395 certain criteria among others, the company that provides GPRA 91,601 76,023 53,737 35,701 52,979 regular dividend for the last 4 years, and companies that JKON 216,246 247,654 329,681 301,167 273,977 have been listed on the Indonesia’s stock Exchange or initial JRPT 727,884 869,777 1,014,232 1,114,019 1,054,538 LPKR 2,996,884 616,914 1,636,156 1,858,325 (1,053,510) (IPO) at least 4 last year. There are 18 MKPI 437,464 894,443 1,191,768 1,186,587 1,029,941 companies that comply with these criteria that will be used MTLA 309,217 238,637 309,280 537,522 511,352 as sample of the research, they are: PT. Acset indonusa Tbk NRCA 277,872 191,227 94,470 134,454 103,056 (ACST), PT. Adhi karya (Persero) Tbk (ADHI), PT. Bekasi PTPP 532,065 2,037,652 1,277,066 1,808,446 2,116,609 Fajar Industrial Estate (BEST), PT. Ciputra Development PWON 2,597,079 1,408,606 1,776,412 2,002,490 2,851,349 RDTX 232,634 260,638 258,948 248,247 269,785 Tbk (CTRA), PT. Perdana Gapuraprima Tbk (GPRA), PT. SMRA 1,387517 1,086,441 595,879 509,452 707,802 Jaya Konstruksi Manggala Prata (JKON), PT. Jaya Real SSIA 512,571 368,686 80,051 1,212,376 74,612 Propety Tbk. (JPRT), PT. Lippo Karawaci Tbk (LPKR), PT. TOTL 163,751 184,765 210,411 220,939 214,512 Metropolitan Ketjana Tbk (MKPI), PT. Metropolitan Land WIKA 750,796 709,311 1,128,869 1,308,466 2,213,543 Tbk (MTLA), PT Nusa Raya Cipta Tbk (NRCA), PT PP Source: www.rti.co.id Persero Tbk (PTPP), PT. Pakuwon Jati Tbk. (PWON), PT. Roda Vivatex Tbk (RDTX), PT. Summarecon Agung Tbk (SMRA), PT. Surya Semesta Internusa Tbk (SSIA), Total

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TABLE II. STOCKHOLDERS (IN MILLION RUPIAH Emit Number Of Share of Outstanding en Emiten Code 2014 2015 2016 2017 2018 Cod 2014 2015 2016 2017 2018 1,426,7 e ACST 647,336 664,859 1,301,225 1,437,127 93 BES 9,645,462, 9,647,311, 9,647,311, 9,647,311, 9,647,311, 6,285,2 T 300 150 150 150 150 ADHI 1,751,543 5,162,132 5,442,80 5.869.917 72 CTR 15,165,81 15,330,65 15,425,29 18,560,30 18,560,30 4,171,9 A 5,994 9,837 1,220 3,397 3,397 BEST 2,849,501 3,042,155 3,390,836 3,848,186 94 GPR 4,276,655, 4,276,655, 4,276,655, 4,276,655, 4,276,655, 11,421,37 13,050,22 14,297,92 15,450,76 16,644, A 336 336 336 336 336 CTRA 1 1 7 5 276 JKO 16,308,51 16,308,51 16,308,51 16,308,51 16,308,51 1,082,0 N 9,860 9,860 9,860 9,860 9,860 GPRA 889,966 947,231 1,010,180 1,033,311 13 JRP 13,750,00 13,750,00 13,750,00 13,750,00 13,750,00 2,582,4 T 0,000 0,000 0,000 0,000 0,000 JKON 1,763,393 1,943,845 2,200,751 2,403,011 96 LPK 23,077,68 23,077,68 23,077,68 23,077,68 23,077,68 6,693,3 R 9,619 9,619 9,619 9,619 9,619 JRPT 3,208,343 4,140,931 4,906,399 5,976,496 49 MK 948,194,0 948,194,0 948,194,0 948,194,0 948,734,0 17,646,44 18,916,76 22,075,13 29,860,29 25,470, PI 00 00 00 00 00 LPKR 9 5 9 4 018 MT 7,579,333, 7,655,126, 7,655,126, 7,655,126, 7,655,126, 5,231,6 LA 000 330 330 330 330 MKPI 2,161,693 2,829,095 3,714,904 4,551,607 65 NR 2,480,000, 2,496,257, 2,496,258, 2,496,258, 2,496,258, 3,438,7 CA 146 846 344 344 344 MTLA 2,037,136 2,213,217 2,502,403 2,999,352 62 PTP 4,842,436, 4,842,436, 6,199,897, 6,199,897, 6,199,897, 1,208,2 P 500 500 354 354 354 NRCA 993,933 1,086,633 1,141,660 1,202,857 37 PW 48,159,60 48,159,60 48,159,60 48,159,60 48,159,60 10,796,15 14,243,11 16,315, ON 2,400 2,400 2,400 2,400 2,400 PTPP 2,390,270 5,119,072 8 0 612 RDT 268,800,0 268,800,0 268,800,0 268,800,0 268,800,0 11,019,69 12,791,49 15,311, X 00 00 00 00 00 PWON 8,283,071 9,455,056 4 0 681 SM 14,426,78 14,426,78 14,426,78 14,426,78 14,426,78 2,313,4 RA 1,680 1,680 1,680 1,680 1,680 RDTX 1,351,775 1,589,565 1,828,463 2,054,962 23 SSI 4,705,249, 4,705,249, 4,705,249, 4,705,249, 4,705,249, 9,060,7 A 440 440 440 440 440 SMRA 5,992,636 7,529,750 8,165.,55 8,353,742 05 TOT 3,410,000, 3,410,000, 3,410,000, 3,410,000, 3,410,000, 4,385,0 L 000 000 000 000 000 SSIA 3,038,873 3,338,000 3,352,827 4,476,834 06 WIK 6,149,225, 6,149,225, 8,969,951, 8,969,951, 8,969,951, 1,052,1 A 000 000 372 372 372 TOTL 799,235 866,315 942,610 1,010,099 11 Source: www.rti.co.id (Data processed, 2019) 12,498,71 14,631,82 17,215, WIKA 4.978,758 5,438,101 5 5 315 TABLE V. CLOSED PRICE 2018 Source: Financial Statement www.rti.co.id

TABLE III. DIVIDEND PAID (IN MILLION RUPIAH) Closed Price 2018 No. Emiten Code Dividend Paid Emiten Code 2014 2015 2016 2017 2018 2018 ACST 19,750 21,000 24,450 40,600 40,600 1 ACST 1,555 ADHI 121,793 64,814 93,386 94,035 103,083 2 ADHI 1,585 BEST 21,954 21,995 11,866 33,168 96,473 3 BEST 208 CTRA 431,557 214,939 163,527 96,045 196,839 4 CTRA 1,010 GPRA 8,553 10,691 21,383 12,819 4,276 5 GPRA 110 JKON 68,495 70,126 73,388 104,374 94,589 6 JKON 364 JRPT 177,748 235,361 282,853 323,260 357,500 7 JRPT 740 LPKR 349,228 517,465 86,835 45,262 76,754 8 LPKR 254 MKPI 194,379 212,110 310,059 349,883 349,883 9 MKPI 22,500 MTLA 49,265 34,107 24,496 40,572 72,364 10 MTLA 448 NRCA 69,440 74,987 39,843 73,257 97,676 11 NRCA 386 PTPP 126,203 106,390 176,966 301,010 290,629 12 PTPP 1,805 PWON 236,379 229,445 229,256 230,387 330,647 13 PWON 620 RDTX 28,119 22,763 20,085 24,192 14,784 14 RDTX 5,500 SMRA 331,353 288,077 72,005 72,127 72,010 15 SMRA 805 SSIA 140,092 96,983 45,343 79,125 127,337 16 SSIA 500 TOTL 119,350 102,300 136,400 153,150 170,500 17 TOTL 560 WIKA 170,982 128,720 125,014 344.653 240,413 18 WIKA 1,655 Source: Financial Statement www.rti.co.id Source: www.idx.co.id TABLE IV. NUMBER OF SHARE OF COMMON STOCK B. Description of Fundamental Variables OUTSTANDING Emit Number Of Share of Common Stock Outstanding TABLE VI. DEVELOPMENT OF FUNDAMENTAL VARIABLES (ROE) en ROE Cod Emiten Code 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 e ACST 16.03% 6.83% 4.95% 10.42% 0.57% ACS 500,000,0 500,000,0 500,000,0 700,000,0 700,000,0 ADHI 18.65% 17.02% 7.43% 8.94% 8.17% T 00 00 00 00 00 BEST 13.73% 7.04% 9.98% 12.52% 10.07% AD 1,801,320, 3,560,849, 3,560,849, 3,560,849, 3,560,849, CTRA 15.71% 13.44% 7.99% 6.26% 7.97% HI 000 376 376 376 376

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ROE Dividend Payout Ratio Emiten Code Emiten Code 2014 2015 2016 2017 2018 2014 2015 2016 2017 2018 GPRA 10.29% 8.03% 5.32% 3.46% 4.90% SSIA 27.33% 26.30% 56.67% 6.53% 171.00% JKON 12.26% 12.74% 14.98% 12.53% 10.61% TOTL 72.89% 55.37% 64.83% 69.46% 79.00% JRPT 22.69% 21.00% 20.67% 18.64% 15.76% WIKA 22.78% 18.14% 11.08% 26.34% 11.00% LPKR 16.98% 3.26% 7.41% 6.22% -4.14% Source: www.rti.co.id (Data processed, 2019) MKPI 20.24% 31.62% 32.08% 26.07% 19.69% MTLA 15.18% 10.78% 12.36% 17.92% 14.87% TABLE IX. DEVELOPMENT OF FUNDAMENTAL VARIABLES (DPR) NRCA 27.96% 17.60% 8.27% 11.18% 8.53% Emiten DPS PTPP 22.26% 39.81% 11.83% 12.70% 12.97% Code 2014 2015 2016 2017 2018 PWON 31.35% 14.90% 16.12% 15.65% 18.62% ACST 39.50 42.00 48.90 58.00 58.00 RDTX 17.21% 16.40% 14.16% 12.08% 11.66% ADHI 67.61 18.20 26.23 26.41 28.95 SMRA 23.15% 14.43% 7.30% 6.10% 7.81% BEST 2.28 2.28 1.23 3.44 10.00 SSIA 16.87% 11.05% 2.39% 27.08% 1.70% CTRA 28.46 14.02 10.60 5.17 10.61 TOTL 20.49% 21.33% 22.32% 21.87% 20.39% GPRA 2.00 2.50 5.00 3.00 1.00 WIKA 15.08% 13.04% 9.03% 8.94% 12.86% JKON 4.20 4.30 4.50 6.40 5.80 Source: www.rti.co.id (Data processed, 2019) JRPT 12.93 17.12 20.57 23.51 26.00 LPKR 15.13 22.42 3.76 1.96 3.33 TABLE VII. DEVELOPMENT OF FUNDAMENTAL VARIABLES (EPS) MKPI 205.00 223.70 327.00 369.00 368.79 Earning Per Share MTLA 6.50 4.46 3.20 5.30 9.45 Emiten Code NRCA 28.00 30.04 15.96 29.35 39.13 2014 2015 2016 2017 2018 PTPP 26.06 21.97 28.54 48.55 46.88 PWON 4.91 4.76 4.76 4.78 6.87 ACST 207.60 90.77 128.72 213.86 11.57 RDTX 104.61 84.68 74.72 90.00 55.00 ADHI 181.32 246.78 113.64 147.32 144.14 SMRA 22.97 19.97 4.99 5.00 4.99 SSIA 29.77 20.61 9.64 16.82 27.06 BEST 40.57 22.20 35.07 49.93 43.57 TOTL 35.00 30.00 40.00 45.00 50.00 WIKA 27.81 20.93 13.94 38.42 26.80 CTRA 118.30 114.39 74.10 52.07 71.46 Source: www.rti.co.id (Data processed, 2019) GPRA 21.42 17.78 12.57 241.62 12.39

JKON 13.26 15.19 20.22 18.47 16.80 C. Price Earning Ratio Approach Method (PER) 1. ACST JRPT 52.94 63.26 73.76 81.02 76.69 DPS Year 2019 (Rp) : 60.91 LPKR 129.86 26.73 70.90 80.52 (45.65) EPS Year 2019 (Rp) : 12.15 g : 0.0501 MKPI 461.37 943.31 1,256.88 1,251.42 1,085.60 k : 0.0893 MTLA 40.80 31.17 40.40 70.22 66.80 PER Year 2019 (X) : 127.89 Value Intrinsic : 1,553.86 NRCA 112.05 76.61 37.84 53.86 41.28 2. ADHI PTPP 109.88 420.79 205.98 291.69 341.39 DPS Year 2019 (Rp) : 31.67 PWON 53.93 29.25 36.89 41.58 59.21 EPS Year 2019 (Rp) : 157.70 g : 0.0941 RDTX 865.46 969.64 963.35 923.54 1,003.66 k : 0.0893 SMRA 96.18 75.31 41.30 35.31 49.06 PER Year 2019 (X) : 10.04 Value Intrinsic : 1,583.31 SSIA 108.94 78.36 17.01 257.66 15.86 3. BEST TOTL 48.02 54.18 61.70 64.79 62.91 DPS Year 2019 (Rp) : 10.97 WIKA 122.10 115.35 125.85 145.87 246.77 EPS Year 2019 (Rp) : 47.78 g : 0.0966 Source: www.rti.co.id (Data processed, 2019) k : 0.1493 TABLE VIII.DEVELOPMENT OF FUNDAMENTAL VARIABLES (DPS) PER Year 2019 (X) : 4.36 Dividend Payout Ratio Emiten Code Value Intrinsic : 208.32 2014 2015 2016 2017 2018 4. CTRA ACST 19.03% 46.27% 37.99% 27.12% 501.30% DPS Year 2019 (Rp) : 11.52 ADHI 37.29% 7.37% 23.08% 17.93% 20.00% BEST 5.62% 10.27% 3.51% 6.89% 23.00% EPS Year 2019 (Rp) : 77.61 CTRA 24.06% 12.26% 14.30% 9.93% 15.00% g : 0.0860 GPRA 9.34% 14.06% 39.78% 1.24% 8.00% k : 0.0974 JKON 31.67% 28.31% 22.26% 34.65% 35.00% PER Year 2019 (X) : 13.02 JRPT 24.42% 27.06% 27.89% 29.02% 34.00% Value Intrinsic : 1,010.48 LPKR 11.65% 83.88% 5.30% 2.43% -7.00% MKPI 44.43% 23.71% 26.02% 29.49% 34.00% 5. GPRA MTLA 15.93% 14.31% 7.92% 7.55% 14.00% DPS Year 2019 (Rp) : 1.05 NRCA 24.99% 39.21% 42.18% 54.49% 95.00% EPS Year 2019 (Rp) : 13.07 PTPP 23.72% 5.22% 13.86% 16.64% 14.00% g : 0.0547 PWON 9.10% 16.27% 12.90% 11.50% 12.00% k : 0.0642 RDTX 12.09% 8.73% 7.76% 9.75% 5.00% SMRA 23.88% 26.52% 12.08% 14.16% 10.00% PER Year 2019 (X) : 8.46

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Value Intrinsic : 11.57 k : 0.1416 6. JKON PER Year 2019 (X) : 4.85 DPS Year 2019 (Rp) : 6.31 Value Intrinsic : 5,502.03 EPS Year 2019 (Rp) : 18.29 15. SMRA g : 0.0885 DPS Year 2019 (Rp) : 5.46 k : 0.1058 EPS Year 2019 (Rp) : 53.66 PER Year 2019 (X) : 19.94 g : 0.0938 Value Intrinsic : 364.70 k : 0.1006 7. JRPT PER Year 2019 (X) : 14.96 DPS Year 2019 (Rp) : 29.69 Value Intrinsic : 802.75 EPS Year 2019 (Rp) : 87.58 16. SSIA g : 0.1420 DPS Year 2019 (Rp) : 29.53 k : 0.1821 EPS Year 2019 (Rp) : 17.30 PER Year 2019 (X) : 8.45 g : 0.0911 Value Intrinsic : 740.05 k : 0.1502 8. LPKR PER Year 2019 (X) : 28.88 DPS Year 2019 (Rp) : 3.49 Value Intrinsic : 499.62 EPS Year 2019 (Rp) : -47.8 17. TOTL g : 0.0484 DPS Year 2019 (Rp) : 53.39 k : 0.0621 EPS Year 2019 (Rp) : 67.18 PER Year 2019 (X) : 5.32 g : 0.0678 Value Intrinsic : 254.62 k : 0.1631 9. MKPI PER Year 2019 (X) : 8.34 DPS Year 2019 (Rp) : 435.54 Value Intrinsic : 560.28 EPS Year 2019 (Rp) : 1282.09 18. WIKA g : 0.1810 DPS Year 2019 (Rp) : 29.39 k : 0.2004 EPS Year 2019 (Rp) : 270.66 PER Year 2019 (X) : 17.51 g : 0.0968 Value Intrinsic : 22,449.40 k : 0.1146 10. MTLA PER Year 2019 (X) : 6.10 DPS Year 2019 (Rp) : 10.64 Value Intrinsic : 1,651.03 EPS Year 2019 (Rp) : 75.18 g : 0.1255 D. Fairness of stock price k : 0.1493 PER Year 2019 (X) : 5.95 TABLE X. TABLE OF COMPARISON OF STOCK PRICES WITH Value Intrinsic : 447.32 INTRINSIC VALUE 11. NRCA Emiten Value Intrinsic Stock Price Information DPS Year 2019 (Rp) : 42.41 Code EPS Year 2019 (Rp) : 44.75 ACST Rp 1,553.86 Rp 1,575.00 Overvalued g : 0.0839 ADHI Rp 1,583.31 Rp 1,645.00 Overvalued BEST Rp 208.32 Rp 240.00 Overvalued k : 0.1938 CTRA Rp 1010.48 Rp 1,000.00 Undervalued PER Year 2019 (X) : 8.63 GPRA Rp 110.57 Rp 100.00 Undervalued Value Intrinsic : 386.11 JKON Rp 364.70 Rp 316.00 Undervalued 12. PTPP JRPT RP 740.05 Rp 595.00 Undervalued DPS Year 2019 (Rp) : 55.00 LPKR RP 254.62 Rp 288.00 Overvalued MKPI Rp 22,449.40 Rp 16,200.00 Undervalued EPS Year 2019 (Rp) : 400.55 MTLA Rp 447.32 Rp 450.00 Overvalued g : 0.1733 NRCA RP 386.11 Rp 141.00 Overvalued k : 0.2038 PTPP Rp 1,802.48 Rp 2,150.00 Overvalued PER Year 2019 (X) : 4.50 PWON Rp 618.25 Rp 590.00 Overvalued Value Intrinsic : 1,802.48 RDTX Rp 5,502.03 Rp 7,775.00 Overvalued SMRA Rp 802.75 Rp 940.00 Overvalued 13. PWON SSIA Rp 499.62 Rp 550.00 Overvalued DPS Year 2019 (Rp) : 8.04 TOTL RP 56.28 Rp 630.00 Overvalued EPS Year 2019 (Rp) : 69.31 WIKA Rp 1,651.03 Rp 2,160.00 Overvalued g : 0.1705 Source: Data processed, 2019 k : 0.1835 PER Year 2019 (X) : 8.92 Based on table 10 above is known results of Value Intrinsic : 618.25 comparison between intrinsic value calculation result with 14. RDTX the approach method and the share price closing of the first DPS Year 2019 (Rp) : 62.17 quarter 2019 on March 29, 2019 and it is known that: EPS Year 2019 (Rp) : 1134.44 g : 0.1303

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1. The company's overvalued shares have 13 companies SMRA, SSIA, TOTL, PTPP, PWON, and WIKA. For including ACST, ADHI, BEST, LPKR, MTLA, NRCA, companies in undervalued conditions, there are 5 PTPP, PWON, RDTX, SMRA, SSIA, TOTL, WIKA. companies, namely CTRA, GPRA, JKON, JRPT, and Because the current stock price is above intrinsic value. MKPI. 2. The company's undervalued shares are 5 companies Companies that are experiencing overvalued conditions including CTRA, GPRA, JKON, JRPT, MKPI. Because are taken investment decisions for selling to investors who the current stock price is below intrinsic value. already own the shares, but for those investors who do not yet have advised not to make a purchase until the price is E. Investment Decision already on a reasonable position. For companies whose share conditions are undervalued, then the investment TABLE XI. INVESTMENT DECISION MAKING decision making is made to be bought by prospective investors and for the investors who already have advised to Emiten State of Share Investment Decision Code Prices Existing Prospective withhold. Investor Investors ACST Overvalued Sell Hold B. Recommendations ADHI Overvalued Sell Hold BEST Overvalued Sell Hold The advice that can be given based on the results of the CTRA Undervalued Hold Buy study obtained is as follows: GPRA Undervalued Hold Buy JKON Undervalued Hold Buy 1. For state conditions the company that is in the JRPT Undervalued Hold Buy overvalued position is carried out investment LPKR Overvalued Sell Hold decision to sell the stock and for the prospective MKPI Undervalued Hold Buy investor not to make the purchase. MTLA Overvalued Sell Hold NRCA Overvalued Sell Hold 2. For state condition, the company that is in the PTPP Overvalued Sell Hold position of undervalued investment decision to buy PWON Overvalued Sell Hold shares. RDTX Overvalued Sell Hold 3. In addition to the intrinsic assessment in the purchase SMRA Overvalued Sell Hold SSIA Overvalued Sell Hold of stock prices, it is necessary to do some analysis TOTL Overvalued Sell Hold such as the company's economic analysis of the WIKA Overvalued Sell Hold company, national economic analyses on the Source: Data processed, 2019 property sector, real estate, and building Based on table XI above we can conclude that, there are construction, and technical analysis of the company's 13 companies that are in the condition overvalued then the stock graphs to strengthen investment decisions. decisions we will take are selling such as ACST, ADHI, BEST, LPKR, MTLA, NRCA, RDTX, SMRA, SSIA, REFERENCES TOTL, PTPP, PWON, and WIKA, to The companies in the [1] Indonesia Stock Exchange. (2018). Introduction to Capital market. undervalued position are five companies, namely CTRA, Retrieved from IDX: https://www.idx.co.id/investor/pengantar-pasar- GPRA, JKON, JRPT, and MKPI. The decision to be taken modal/ is to buy for the investors who do not have the shares. When [2] Indonesia Stock Exchange.(2018). Shares. Retrieved from IDX: investors already have shares from the company, it is https://www.idx.co.id/produk/saham/ advisable to be held until the price is suitable and profitable. [3] Kodrat, D.S., & Indonanjaya, K. (2010). Stock analysis type. In Technical and Fundamental approach to stock analysis. Yogyakarta: Graha Ilmu. V CONCLUSION AND SUGGESTIONS [4] Lubis, T.A.(2009). Investment management of theoretical and empirical A. Conclusion approaches. Malang: Universitas Brawijaya. Companies listed on the secondary market on 29 March [5] Simatupang, M.(2010). Practical knowledge of shares investment and 2019 are unreasonable stock prices. There are 13 companies mutual fund. Jakarta: Mitra Wacana Media. [6] Sugiyono. (2017). The skeleton of thinking.Bandung: Alfabeta. that are experiencing overvalued pricing conditions namely, [7] Tandelilin, E. (2010).Portfolios and investments. Yogyakarta: Canisius ACST, ADHI, BEST, LPKR, MTLA, NRCA, RDTX,

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