Indonesia Stock Exchange with companies to
conduct an IPO. IPO is a company that was first traded
on the secondary market. Underpricing is a condition
when the price of shares on the initial public offering of
shares is cheaper than the price of shares in the
secondary market at closing usually called the initial
return obtained by investors. In 2018, there were 58 IPO
companies, compared to the previous year.
The purpose’ of this study’ is to analysis of financial
factors that influence underpricing of company
conducting IPO in Indonesia period 2018. The’ factors
used are company current ratio, size, return on assets,
debt to equity, and earnings per share.
The method used quantitative method with the
type; of multiple linear regression research’. The
population in this’ study were 58 companies conducting
IPO in Indonesia period 2018 for 58 company.
Determination of the number of samples was carried out
using a non probability sampling method with a
purposive; sampling’ technique and a sample’ of 53
companany was obtained.
The’ results showed that company current ratio,
size, return on assets, debt to equity, and earnings per
share simultaneously influence underpricing.
Keywords : Current Ratio, Size, Return On Assets, Debt to Equity, Earnings Per Share, Underpricing.