Optimal Portfolio Formation Analysis Using Single Index Model based on Cigarette company image listed on the IDX

Abstract

Abstract The purpose of this study was to find out whether the company's image affects the stock price forming the optimal portfolio. The sample of this research is the sample in the research. there are 4 cigarette companies listed on the Indonesia Stock Exchange, namely (GGRM, WIIM, HMSP and ITIC), in the period June 2021-2022 Data analysis uses steps to form an optimal portfolio with the Single Index Model. The results of the study show that the company's image in the optimal portfolio on stock prices has a significant impact on the decline in stock prices of cigarette companies in Indonesia.