The Effect of Environment, Social and Governance (ESG) to Stock Price with the mediation of Deviden and Market Capitalization

DOI

10.2991/978-2-38476-366-5_5How to use a DOI?

Keywords

Devidend; ESG; Market capitalization; Price stock; IDX

Abstract

Environment, social and governance issues will support for sustainable in business operation of firms. Environment, social and governance (ESG) become part of value for firms then ESG will the rise of price stock. ESG also determined by dividend and market capitalization to increase price stock. The purpose of the research is to empirically test the mediation of Devidend and market capitalization between Environment, Social and Governance (ESG) to stock prices. This research method used path analysis using Smartpls 3.0. The information comes from the annual financial reports listed in the Indonesian Stock Exchange for the years 2023. The sample of research are telecommunication, banking, Food and Beverage sectors. The results of the F-test show that ESG have a significant impact on stock prices. At the same time, the t-test shows that ESG have significant impact on market capitalization and dividend. Devidend does not have significant effect on stock prices and market capitalization does not have significant effect on stock price. Market capitalization and dividend have no mediate ESG on stock price. Market capitalization and dividend can not mediate the improving ESG on price stock because the market capitalization and dividend tend to fluctuative movement between ESG and price stock. The beneficial of research are to development of literature about ESG, Market capitalization, Devidend, Price stock.

Copyright

© 2025 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Risal Rinofah
AU  - Pristin Prima Sari
AU  - Salma Salsabilla Iswandari
AU  - Wahyuni Wahyuni
PY  - 2025
DA  - 2025/02/28
TI  - The Effect of Environment, Social and Governance (ESG) to Stock Price with the mediation of Deviden and Market Capitalization
BT  - Proceedings of the 1st International Conference on Social Environment Diversity (ICOSEND 2024)
PB  - Atlantis Press
SP  - 50
EP  - 61
SN  - 2352-5398
UR  - https://doi.org/10.2991/978-2-38476-366-5_5
DO  - 10.2991/978-2-38476-366-5_5
ID  - Rinofah2025
ER  -