Journal of Administrative and Business Studies
Details
Journal ISSN: 2414-309X
Article DOI: https://doi.org/10.20474/jabs-2.1.1
Received: 21 Octuber 2015
Accepted: 16 December 2015
Published: 22 February 2016
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  • Fundamental and technical analyses for stock investment decision making


Layyinaturrobaniyah, Dian Masyita, Gilang Sekartadjie

Abstract

This study is aimed at reviewing fundamental variables, and technical factors that have been considered in stock investment decisions as well to determine which of the two approaches is more dominant. The study employed factor analysis and compared means test using sample of investment managers and individual investors in Bandung. About 100 respondents were propagated using proportional random sampling. This study found that almost all of the fundamental factors play role in the investment decision, including interest rate, ratio of profitability, leverage ratio, dividend payout ratio, and asset turnover ratio. While among the technical variables, the historical data analysis is the major consideration. With regard to the selection of preferred approach, the observation indicates that none of the analysis is more dominant.