Income approach Net Tangible Assets Approach NTA

29 additional information in financial report: price to Earning Ratio PER, Price to Book Value PBV, Dividend Payout, Dividend yield, Current Ratio, Debt to Equity Ratio, Leverage Ratio, Gross Profit Margin, operating Profit Margin, Net Profit Margin, Inventory Turnover, Total Assets Turnover, Return on Investment and Return on Equity. According Sunariyah 1997; 85-100 for analyze stock price and infestation in stock can be used 2 approaching, which are traditional approaching and modern port folio management. Traditional approaching consist of 2 approaching which are technical and fundamental approaching this approaching is same as one that explained by Suad Husnan. Modern portfolio approaching pushed in exchange psychology aspect with hypothesis assumption about exchange which is market efficient hypothesis. Efficient market means that stock prices reflecting whole information in exchange. This approaching needs accurate analysis, therefore needs framework. Framework is an analysis step that has to be done systematically which consists of 3 analysis steps which are:

a. Economic analysis

Economic analysis aiming to know the kind also business prospect of a company. Economy activity will influence 30 company profit. If economic growth of a country is low, generally achieved profit of a company also low. In economic analysis many variables has macro characteristic like: national income, monetary policy and fiscal, interest rate and etc.

b. Industry Analysis

In Industry analysis we have to know the strengths and weaknesses of relevant economy. Adequate knowledge about industry dynamic from relevant company will help analyst or investor in doing industry analysis. The referred of company analysis is group of homogenous company.

c. Company analysis issuer

The proposed company analysis to knowing the company performance. Investor needs relevant information about company as a basic invest decision. That information include external and internal information of a company, which are information about financial period in a certain period. Besides, solvency can be analyzed, profitability and liquidity of a company. Other important information is expected information about financial projection or forecasting. Reminds that information necessity based on consideration that stock price determined by past company performance or future expectation.