On the relationship of accounting information value and stock prices: The moderation of accounting conservatism
Article Sidebar
Main Article Content
Abstract
The information content of published financial statements has value relevance if it is able to revise investor confidence. The indication is the market reaction in the form of changes in stock prices. Many believe that recently the value relevance of accounting information has declined amid increasing conservatism practices. This research has two objectives. First, detecting the existence of value relevance of accounting information through its effect on changes in the same price. Second, examine the effect of accounting conservatism practices on value relevance. The objects of research are manufacturing companies listed on the Indonesia Stock Exchange for the period 2013-2016. The sample size is 320 observations, consisting of 80 companies each year. By using multiple regression as an analytical tool, this study finds that accounting information is proven to have value relevance to stock prices. Accounting conservatism has a different effect on each accounting information.
Downloads
Article Details
References
Adibah, J., Nor, A. M., & Asyaari, E. A. (2009). Corporate governance reform and the value relevance of equity book value and earnings in Malaysia. Journal of Financial Reporting & Accounting, 7 (2, 41-59.
Almilia, L. S., & Sulistyowati, D. (2007). Analisa terhadap relevansi nilai laba, arus kas 0perasi dan nilai buku ekuitas pada periode di sekitar krisis keuangan pada perusahaan manufaktur di BEJ. Proceeding Seminar Nasional, 1-17.
Andre, P., & Filip, A. (2012). Accounting conservatism in Europe and the impact of mandatory IFRS adoption: Do country, institutional and legal differences survive? [Working paper].
Balachandran, S. V., & Mohanram, P. S. (2005). Conservatism and the value relevance of accounting information. E-Journal Columbia Business School, 1-41.
Barth, M. E., Beaver, W. H., & Landsman, W. R. (2001). The Relevance of the value relevance literature for financial accounting standard setting: Another view. Journal of Accounting and Economics, 31 (1-3, 77-104.
Black, E. L. (1998). Which is more value-relevant: Earnings or cash flows? SSRN Electronic Journal, May, 1-49.
Collins, D. W., Maydew, E. L., & Weiss, I. S. (1997). Changes in the value relevance of earnings and book values over the past forty years. Journal of Accounting and Economics, 24, 39-67.
Collins, D. W., Pincus, M., & Xie, H. (1999). Equity valuation and negative earnings: The role of the book value of equity. The Accounting Review, 74 (1, 26-91.
Darsono. (2012). Dampak Konservatisma Terhadap Relevansi Nilai Informasi Akuntansi Di Indonesia [Dissertation]. Universitas Gajah Mada.
Devi, P. L. S., & Badjra, I. B. (2014). Pengaruh ROE, NPM, leverage dan nilai pasar terhadap harga saham. E-Jurnal Manajemen Universitas Udayana, 3(2), 259-278.
Dewi, N. K. S. L., & Suryanawa, I. K. (2014). Pengaruh struktur kepemilikan manajerial, leverage, dan financial distress terhadap konservatisme akuntansi. E-Jurnal Akuntansi Universitas Udayana, 7(1), 223-234.
Dimitrov, V., & Jain, P. C. (2008). The value-relevance of changes in financial leverage beyond growth in assets and GAAP earnings. Journal of Accounting, Auditing & Finance, 23(2), 191-222.
Disatnik, D., & Sivan, L. (2016). The multicollinearity illusion in moderated regression analysis. Marketing Letters, 27(2), 403-408.
Francis, J., & Schipper, K. (1999). Have financial statements lost their relevance? Source Journal of Accounting Research Journal of Accounting Research, 37(2), 319-352.
Gitman, L. J., & Zutter, C. J. (2015). Principles of Managerial Finance, Edisi 13, London: Pearson Education Limited.
Givoly, D., & Hayn, C. (2000). The changing time-series properties of earnings, cash flows, and accruals: Has financial reporting become more conservative? Journal of Accounting and Economics, 29 (3), 287-320.
Givoly, D., & Hayn, C. (2002). Rising conservatism: Implications for financial analysis. Financial Analysts Journal, 58(1), 56-74.
Haghiri, A., & Haghiri, S. (2012). The investigation of effective factors on stock return with an emphasis on ROA and ROE ratios in Tehran Stock Exchange (TSE ). Journal of Basic and Applied Scientific Research, 2 (9), 9097-9103.
Hail, L. (2013). Financial reporting and firm valuation: Relevance lost or relevance regained? Accounting and Business Research, 43(4), 329-358.
Hendriksen, E. S., & Breda, M. F. Van. (1992). Accounting Theory, Edisi 5, Mc-Graw Hill Education.
Juanda, A. (2012). Kandungan prinsip konservatisme dalam standar akuntansi keuangan berbasis IFRS (International Financial Reporting Standard). Jurnal Humanity, 7(2), 24-34.
Julianto, P. A. (2017). Indonesia Masuk 10 Besar Negara Industri Manufaktur. Kompasn [Online Newspaper]. Retrieved from https://ekbis.sindonews.com/read/1192424/34/indonesia-masuk-10-besar-negara-industrimanufaktur-1490772241
Karami, G., & Hajiazimi, F. (2013). Value relevance of conditional conservatism and the role of disclosure: Empirical evidence from Iran. International Business Research, 6(3), 66-74.
Karunarathne, W. V. D. A., & Rajapakse, R. M. D. A. P. (2010). The value relevance of financial statements’ information: With special reference to the listed companies in Colombo Stock Exchange. ICBI 2010 - University of Kelaniya, Sri Lanka, 1-20.
Kieso, D. E., Weygandt, J. J., & Warfield, T. D. (2011). Intermediate Accounting. 14th Edition. John Wiley & Sons Inc.
Kieso, D. E., Weygandt, J. J., & Warfield, T. D. (2014). Intermediate Accounting. 15th Edition. John Wiley & Sons Inc.
Kousenidis, D. V., Ladas, A. C., & Negakis, C. I. (2009). Value relevance of conservative and nonconservative accounting information. International Journal of Accounting, 44 (3), 219-238.
Kwon, G. J. (2009). The value relevance of book values, earnings and cash flows: Evidence from South Korea. International Journal of Business and Management, 4(10), 28-42.
'Laba Volkswagen naik US$3,8 miliar' 2016, Kontan, 1 Juni 2016. Retrived from http://internasional.kontan.co.id/news/laba-volkswagen-naik-us-38-miliar
Lam, K. C. K., Sami, H., & Zhou, H. (2013). Changes in the value relevance of accounting information over time: Evidence from the emerging market of China. Journal of Contemporary Accounting and Economics, 9 (2, 123-135.
Luciana, A. (2017). Menperin sebut 6 sektor pendongkrak pertumbuhan industri 2018. Tempo [Online News Paper]. Retrieved from https://bisnis.tempo.co/read/1041247/menperin-sebut-6-sektorpendongkrak-pertumbuhan-industri-2018
Mashayekhi, B., Faraji, O., & Tahriri, A. (2013). Accounting disclosure, value relevance and firm life cycle: Evidence from Iran. International Journal of Economic Behavior and Organization, 1(6), 69-77.
Mayangsari, S. (2004). Analisa terhadap relevansi nilai (value-relevance) laba, arus kas dan nilai buku ekuitas: Analisa Diseputar Perioda Krisis Keuangan 1995-1998. Simposium Nasional Akuntansi VII, 862-882.
Mutia, E. (2012). Pengaruh informasi laba dan arus kas terhadap harga saham. Jurnal Akuntansi (Media Riset Akuntansi & Keuangan), 1(1), 12-22.
Nyabundi, M. A. (2013). Value relevance of financial statements information: Evidence from listed firms in Kenya. Advances in Management and Applied Economics, 3(1), 115-134.
Ohlson, J. (1995). Earnings, book values, and dividends in equity valuation. Contemporary Accounting Research, 11(2), 661–687.
Omokhudu, O. O., & Ibadin, P. O. (2015). The value relevance of accounting information: Evidence from Nigeria. Accounting and Finance Research, 4(3), 20-30.
Pebriana, F. (2014). Analisis EPS, ROA, Dan DER Terhadap Harga Saham Perusahaan-Perusahaan Yang Tergabung Dalam Indeks Sri Kehati Di Bursa Efek Indonesia (BEI) Periode 2010-2013 [Student Paper]. Universitas Esa Unggul.
Penman, S. H., & Zhang, X. (2002). Accounting conservatism, the quality of earnings, and stock returns. The Accounting Review, 77(2), 237-264.
Pinasti, M. (2004). Faktor-Faktor Yang Menjelaskan Variasi Relevansi-Nilai Informasi Akuntansi: Pengujian Hipotesis Informasi Alternatif. Simposium Nasional Akuntansi VII. Denpasar, Bali, December, -16.
Pratanda, R. S., & Kusmuriyanto. (2014). Pengaruh mekanisme good corporate governance, likuiditas, profitabilitas, dan leverage terhadap konservatisme akuntansi. Accounting Analysis Journal, 3(2), 255-263.
Schroeder, R., W. Clark, M., & M. Cathey, J. (2014). Financial Accounting Theory and Analysis (11th ed.). John Wiley & Sons Inc.
Scott, W. R. (2015). Financial Accounting Theory 7th Edition. Pearson Canada, Inc.
Stella. (2009). Pengaruh price to earning ratio, debt to equity ratio, return on asset, dan price to book value terhadap harga pasar saham. Jurnal Bisnis Dan Akuntansi, 11(2), 97-106.
Sugiarti, Y., & Suyanto. (2007). Pengaruh Informasi Keuangan (Book Value Dan Earning Per Share) Terhadap Harga Saham Perusahaan Perbankan. Jurnal Akuntansi Dan Teknologi Informasi, 6, November, 79-92.
Suwardjono. (2014). Teori Akuntansi Perekayasaan Pelaporan Keuangan. 3rd Edition. BPFEYOGYAKARTA.
Viandita, T. O., Suhadak, & Husaini, A. (2013). Pengaruh Debt Ratio (DR), Price to Earning Ratio (PER), Earning Per Share (EPS), dan Size Terhadap Harga Saham (Studi Pada Perusahaan Industri Yang Terdaftar Di Bursa Efek Indonesia). Jurnal Administrasi Bisnis (JAB), 1(2), 113121.
Watts, R. (2003). Conservatism in Accounting Part I: Explanations and Implications. Accounting Horizons, 17(3), 207-221.
Watts, R. L., & Zimmerman, J. L. (1986). Positive Accounting Theory. New Jersey: Prentice Hall, Inc.
Widiastuti, N. P. E., & Meiden, C. (2012). Moderasi Deferred Tax Expense Atas Relevansi Nilai Laba dan Buku Ekuitas Pada Perusahaan Manufaktur Yang Terdaftar Di BEI Tahun 2008-2010. Jurnal InFestasi, 8 (1), 1-14.
Yendrawati, R., & Pratiwi, R. S. I. (2014). Relevansi Nilai Informasi Laba dan Arus Kas Terhadap Harga Saham. Jurnal Dinamika Manajemen, 5(2), 161-170.
Zakic, V., Vasiljevic, Z., & Zaric, V. (2012). Relevance of Dividend Policy for Food Industry Corporations in Serbia. Review Article of Rconomic and Agriculture, 4(59), 809-823.