In the investment world, the parties who put the capital in the stocks of companies listed on the stock exchange have a goal to get return and avoid risk. The one of many ways to assess the company's performance to be invested is using the Economic Value Added, Debt Equity Ratio, and Financial Leverage.
Economic Value Added is the true economic profit business estimate for this year, which means that there is an opportunity cost for the capital used. Debt Equity Ratio is the company's debt to capital ratio. Financial Leverage is the use of a fixed load source of funds. This research is conducted with the aim to empirically know the influence of Economic Value Added, Debt Equity Ratio, and Financial Leverage on the return of shares. The population of this research is the Food and Beverage Company. Sampling technique is purposive sampling, with the number of samples of 13 Food and Beverage companies listed on the Indonesia Stock Exchange period 2012-2017. The data analysis technique used is the Data Panel with the Common Effect Model. Hypothesis testing using T-tests for partial testing, F-Test for simultaneous testing and coefficient of determination.
The results of this study show that a partial Economic Value Added and Financial leverage has no influence on the return of shares, while Debt Equity Ratio has an influence on the return of shares. And for simultaneous testing, Economic Value Added, Debt Equity Ratio, and Financial Leverage have an influence on the share return simultaneously. Furthermore, coefficient of determination is the result of 0.185472 or in other words, the stock return variable can be explained by Economic Value Added, Debt Equity Ratio and Financial Leverage by 18.5%. While the other 81.5% is explained by other factors outside this research.
Keywords: Economic Value Added, Debt Equity Ratio, Financial Leverage, Stock Return