Abstract :
Investment is a form of protection of one's capital to a company. Stocks are one of the many forms of investment instruments available. Shares are evidence that shows ownership of the capital/funds that have been invested in a company. In making a decision to invest in stocks, investors need to look at the company's financial performance from the measurement of profitability ratios. This study will use the LQ45 index which is 45 company stocks that have good company fundamentals. Therefore, it is necessary to group the profitability ratios of LQ45 companies so that investors can obtain information from the company's financial statements so that investors are not mistaken in choosing company shares. This research was conducted by applying the k-means method to identify LQ45 companies that have very healthy, healthy, moderately healthy and unhealthy financial performance. In addition, the k-means method is used because this method has strong accuracy with good grouping validation and does not depend on the order of objects. This research was conducted with 4 clusters, namely very healthy, healthy, moderately healthy and less healthy categories. The results of the cluster validation test used the silhouette coefficient which obtained a value of 0.53 where the cluster was included in the good category.