The Impact of Dividend Payout Ratio (DPR), Leverage and Firm Size on Stock Price Volatility in Manufacturing Companies Listed on the Indonesia Stock Exchange

ABSTRACT : Volatile stocks illustrate that the prices are varied from time to time and are certainly difficult to determine the prices in the coming period the higher level of volatility results the higher opportunity of profits or losses for investors in the short term. The purpose of this study is to find out the effect of dividend payout ratio, leverage and firm size on stock price volatility. This research was conducted in manufacturing companies listed on the Indonesia Stock Exchange in the 2014-2018 period. The population and sample are obtained from 11 companies with census sampling method. The population in this study are all companies that received dividend payments during the 2014-2018 period. The data collection method used non-participant observation. The analysis technique used multiple linear regression. The result of the analysis in this study indicates that dividend payout ratio, leverage, and firm size simultaneously have a significanteffect on stock price volatility. Dividend payout ratio, and leverage have no significant effect on stock price volatility, while firm size significantly affects stock price volatility.
KEYWORDS: Dividend payout ratio, leverage, firm size, stock price volatility