ABSTRACT
The purpose of this study is to analyze profitability and dividend policy in predicting stock price volatility in the sector of property manufacturing companies with the sub-sector of real estate and property and building construction listed on the Indonesia Stock Exchange in the period 2009–2015. The data was taken in the form of corporate financial statements, while the company used as research samples taken using a purposive random sampling technique. This research found that return on asset and dividend payout ratio have a positive effect on the company stock price. Thus, as both management and investors are very concerned about changes in stock prices, research can provide a way to find the dominant factor in volatility of stock prices and should be considered by investors before making investment decisions, and by management in formulating the dividend policy for the company.
