Is a sign of ownership of shares in a limited liability company as it has been known that investors buy the stock for the purpose of income from these shares. Public investors was categorized as an investors and speculator. Investors here are the people who buy the companys shares to have a hope of getting dividends and capital gains in the long term, while speculators are the people who buy the shares for resale immediately if the situation is considered the most favourable exchange rate as it has been known that the stock provides two kinds of income that is dividends and capital gains. There are various definitions of stocks that have been raised by experts and various text books, among others : a) According to Gitman : Shares is the most pure and simple form of ownership of the company. (Gitman: 2000, 7) b) According to Bernstein : Stock is a piece of paper stating ownership of most firms. (Bernstein: 1995, 197) c) According to Mishkin : Stock is a security that has a claim against the income and assets of a company. Securities them selves can be interpreted as a claim on future income of a borrower being sold bye the borrower to the landing, often called financial instrument. (Mishkin: 2001, 4) Types or share : In the transaction on the stock exchange, shares or stock is often called the most dominant instrument traded. The shares may be issued by way of or on behalf on the bearer. Further shares can be distinguished between ordinary shares (common stocks) and preferred stock (preferred stock) A. Common Stock (common stock) Common stock is the effect of the inclusion of ownership (equity security) of the business entity Limited Liability Company. Common stock gives assurance to participate in the distribution of income in the form of dividens, if the company makes profit. According to Dahlan Siamat (1995:385), traits-traits of common stock are as follows : 1) Dividens paid during the company makes profit. 2) Has the voting rights (one share one vote). 3) The right to receive dividends if insolvent companys assets after all liabilities of the company repaid. B. Preferred Stock (preferred stock) Is a stock that has the nature of a combination of bonds and common stock. The traits-traits of preferred stock according to Dahlan Siamat (1995:385) are : 1) Have the right to obtain prior dividend. 2) Does not have voting rights.
3) It can affect the companys management, especially in the nomination
committee. 4) Have the right maximum payment or par value shares advance after the creditors if the company is liquidated. Shares price : Stocks is a sign of ownership or possession of any person or entity in a company, a share is a piece of paper stating that the owner of the paper is the owner (whatever portion/number) of a company that published the paper (stock) is. A share has a Value or price. According Sawidji Widioatmojo (1996;46) stock prices can be dividend into 3 (three) : A. Nominal Prices The price listed in the stock certificates set by issuers to access each share issued. Nominal price of importance on the stock because dividends are usually determined by a minimum of nominal value. B. Price Premium This price is at the time the shares price recorded on the stock exchange. Shares on the primary market prices are usually set by underwriters and issuer. Thus it would be known how the stock price will be sold to the public generally to determine the issue price. C. Market Price If the initial price is selling price of the emissions trading to investors, the market price is the selling price of a single investors to another investors. This happened after the price of the shares listed on the exchange. Transaction is no longer here involve issuers and underwriters price is called the price in the secondary market and the price is what truly represent the price the issuer company, because the transactions in the secondary market, small investors price negotiations take place with publisher. Price published daily in newspapers or other media is the market price. Factors Affecting the Stock Price : Factors that could affect the stock price by Weston and Brigham (1993:26-27) was projected earnings per share, when earned income, the level of risk from projectes earning, proportion of corporate debt to equity, and dividend policy. Other factors that can affects stock price movement are external constraints such as economics activity in general, and the state of the stock market tax. Investment should really be aware that in addition will benefit not rule out the possibility they will lose. Gains or losses are largely influenced by the ability of investors to analyze the state of momentary assessment applying the stock price is influenced by many factors including the condition (performance) of the company, external constraints, the forces of supply and demand in the stock market, as well as the ability of investors to analyse stock investments. According Sawidji (1996:81) : The main factor that caused the stock price is a different perception of each investor in accordance with the information obtained.