EL NINO ON STOCK PRICES

Objective: This study examines the impact of deflation, exchange rates, and net profit margins (NPM) on the stock prices of 21 agricultural companies listed on the Indonesia Stock Exchange (IDX) for the period 2022–2024 during the El Niño phenomenon, which causes drought and food supply disruptions. Method: The correlation between variables is analyzed quantitatively using panel data regression. Results: The results show that the exchange rate, with relatively small fluctuations, has no significant impact on stock prices, while NPM and deflation have a significant impact. A high NPM indicates attractive profitability and operational efficiency, while deflation encourages investors to transfer capital to the agricultural sector when general goods prices fall. Novelty: These results support SDG 8 on decent work and sustainable economic growth by highlighting investor responses to company fundamentals and macroeconomic conditions during El Niño.