What Factors Influence a Firm Value? Optimistic Financial Performance
Abstract
Company value is formed in various performance factors. In this study the capital structure, profitability, size and type of company are investigated in its role in building company value. The company that is the object of research is a food and beverage consumer goods company listed on the Indonesia Stock Exchange in 2015-2019. This research is a quantitative research. The research sample was 13 subsectors of food and beverage consumption goods listed on the Indonesia Stock Exchange. Regent analysis is used in gathering panel data in this study. There are several diverse research results, namely partially capital structure (DER), profitability (ROA) has a positive significant effect on company value (PBV). While the company's size has a negative effect on the company value (PBV) and company growth has no effect on the company's value (PBV). The implications of this study provide contributing to further research and are able to provide knowledge to company decision making related to efforts to increase company value.Keywords: firm size, price to book value, debt-equity ratio, return on assets, company growth,
References
REFERENCES
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Chen, L.-J., & Chen, S.-Y. (2011). How the pecking-order theory explain capital structure. Journal of International Management Studies, 6(3), 92–100.
Chen, L. Y. (2004). Examining the effect of organization culture and leadership behaviors on organizational commitment, job satisfaction, and job performance at small and middle-sized firms of Taiwan.
Cooper, D. R., Schindler, P. S., Cooper, D. R., & Schindler, P. S. (2003). Business research methods.
Fama, E. F. (1978). The effects of a firm’s investment and financing decisions on the welfare of its security holders. The American Economic Review, 68(3), 272–284.
Hamidah, G., & Umdiana, N. (2017). Pengaruh Profitabilitas dan Investment Opportunity Set (IOS) terhadap Nilai Perusahaan dengan Harga Saham sebagai Variabel Intervening. JAK (Jurnal Akuntansi) Kajian Ilmiah Akuntansi, 4(1).
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Hermuningsih, S. (2016). Profitability, growth opportunity, capital structure and the firm value. Bulletin of Monetary Economics and Banking, 16(2), 115–136.
Hirdinis, M. (2019). Capital structure and firm size on firm value moderated by profitability.
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Sucuahi, W., & Cambarihan, J. M. (2016). Influence of profitability to the firm value of diversified companies in the Philippines. Accounting and Finance Research, 5(2), 149–153.
Suffah, R., & Riduwan, A. (2016a). Pengaruh profitabilitas, leverage, ukuran perusahaan dan kebijakan dividen pada nilai perusahaan. Jurnal Ilmu Dan Riset Akuntansi (JIRA), 5(2).
Suffah, R., & Riduwan, A. (2016b). The effect of profitability, leverage, company size and dividend policy on firm value. Jurnal Ilmu Dan Riset Akuntansi= Journal of Science and Accounting Research, 5(2), 1–17.
Van Horne, J. C., & Wachowicz, J. M. (2009). Fundamentals of financial management 13th ed. Pearson.
Wahyudi, U., & Pawestri, H. P. (2006). Implikasi struktur kepemilikan terhadap nilai perusahaan: dengan keputusan keuangan sebagai variabel intervening. Simposium Nasional Akuntansi, 9(1), 1–25.
Wirajaya, A., & Dewi, A. S. M. (2013). Pengaruh struktur modal, profitabilitas dan ukuran perusahaan pada nilai perusahaan. E-Jurnal Akuntansi Universitas Udayana, 4(2), 358–372.
Yogisworo, R. F., Lastiningsih, N., & Laela, H. N. (2018). The Effect of Company Size, Profitability and Financial Leverage on Income Smoothing. International Seminar on Accounting for Society, 90.
Zuhro, I. (2019). The Effects of Liquidity, Firm Size, and Profitability on the Firm Value with Mediating Laverage. The 2nd International Conference on Islamic Economics, Business, an Philanthropy (ICIEBP) Theme:“Sustainability and Socio Economic Growth.
Anisyah, A., & Purwohandoko, P. (2017). Pengaruh Profitabilitas, Leverage, Ukuran Perusahaan Dan Struktur Modalterhadap Nilai Perusahaan Pada Sektor Pertambangan Yang Terdaftar Pada Bursa Efek Indonesia Periode 2010-2015. Jurnal Manajerial Bisnis, 1(1), 34–46.
Ben-Caleb, E., Olubukunola, U., & Uwuigbe, U. (2013). Liquidity management and profitability of manufacturing companies in Nigeria. IOSR Journal of Business and Management, 9(1), 13–21.
Chabachib, M., HERSUGONDO, H., Septiviardi, D., & Pamungkas, I. D. (2020). The effect of investment opportunity set and company growth on firm value: Capital structure as an intervening variable. International Journal of Innovation, Creativity and Change, 12(11), 139–156.
Chen, L.-J., & Chen, S.-Y. (2011). How the pecking-order theory explain capital structure. Journal of International Management Studies, 6(3), 92–100.
Chen, L. Y. (2004). Examining the effect of organization culture and leadership behaviors on organizational commitment, job satisfaction, and job performance at small and middle-sized firms of Taiwan.
Cooper, D. R., Schindler, P. S., Cooper, D. R., & Schindler, P. S. (2003). Business research methods.
Fama, E. F. (1978). The effects of a firm’s investment and financing decisions on the welfare of its security holders. The American Economic Review, 68(3), 272–284.
Hamidah, G., & Umdiana, N. (2017). Pengaruh Profitabilitas dan Investment Opportunity Set (IOS) terhadap Nilai Perusahaan dengan Harga Saham sebagai Variabel Intervening. JAK (Jurnal Akuntansi) Kajian Ilmiah Akuntansi, 4(1).
Handoko, P. (2017). The Influence of Firm’s Size, Growth, and Profitability on Firm Value with Capital Structure as the Mediator: A Study on the Agricultural Firms Listed in the Indonesian Stock Exchange. International Journal of Economics and Finance, 9(8), 103–110.
Haruman, T. (2008). Struktur kepemilikan, keputusan keuangan dan nilai perusahaan. Jurnal Keuangan Dan Perbankan, 10(2).
Hermuningsih, S. (2016). Profitability, growth opportunity, capital structure and the firm value. Bulletin of Monetary Economics and Banking, 16(2), 115–136.
Hirdinis, M. (2019). Capital structure and firm size on firm value moderated by profitability.
Kesuma, A. (2009). Analisis faktor yang mempengaruhi struktur modal serta pengaruhnya terhadap harga saham perusahaan real estate yang go public di Bursa Efek Indonesia. Jurnal Manajemen Dan Kewirausahaan, 11(1), 38–45.
MAGRETA, M., & NURMAYANTI, P. (2009). Faktor-faktor yang mempengaruhi prediksi peringkat obligasi ditinjau dari faktor akuntansi dan non akuntansi. Jurnal Bisnis Dan Akuntansi, 11(3), 143–154.
Manoppo, H., & Arie, F. V. (2016). Pengaruh struktur modal, ukuran perusahaan dan profitabilitas terhadap nilai perusahaan otomotif yang terdaftar di Bursa Efek Indonesia periode 2011-2014. Jurnal EMBA: Jurnal Riset Ekonomi, Manajemen, Bisnis Dan Akuntansi, 4(2).
Narula, S., Brigham, F. E., & Ehrhardt, M. C. (2010). Financial Management-Text and Cases.
Niresh, A., & Thirunavukkarasu, V. (2014). Firm size and profitability: A study of listed manufacturing firms in Sri Lanka. International Journal of Business and Management, 9(4).
Priya, K., Balasundaram, N., & Pratheepan, T. (2015). Impact of capital structure on the firm value: case study of listed manufacturing companies in Sri Lanka. Scholars World-IRMJCR, 3.
Rahman, S. (2012). The role of intellectual capital in determining differences between stock market and financial performance. International Research Journal of Finance and Economics, 89(1), 46–77.
Saleem, F., Rafique, B., Mehmood, Q., Irfan, M., Saleem, R., Tariq, S., & Akram, G. (2013). The determination of capital structure of oil and gas firms listed on Karachi stock exchange in Pakistan. Interdisciplinary Journal of Contemporary Research in Business, 4(9), 225–235.
Saputri, M. R. L. B., & Margaretha, F. (2014). Faktor-faktor yang Mempengaruhi Struktur Modal pada Perusahaan Manufaktur yang Terdaftar di Bursa Efek Indonesia. E-Journal Manajemen Fakultas Ekonomi Universitas Trisakti. Vol. 1. No. 1. Febuari 2014: Hal 1, 21.
Slamet, R. (2016). Influence of capital structure, size and growth on profitability and corporate value. International Journalof Business and Finance Management Research, 4(6).
Sucuahi, W., & Cambarihan, J. M. (2016). Influence of profitability to the firm value of diversified companies in the Philippines. Accounting and Finance Research, 5(2), 149–153.
Suffah, R., & Riduwan, A. (2016a). Pengaruh profitabilitas, leverage, ukuran perusahaan dan kebijakan dividen pada nilai perusahaan. Jurnal Ilmu Dan Riset Akuntansi (JIRA), 5(2).
Suffah, R., & Riduwan, A. (2016b). The effect of profitability, leverage, company size and dividend policy on firm value. Jurnal Ilmu Dan Riset Akuntansi= Journal of Science and Accounting Research, 5(2), 1–17.
Van Horne, J. C., & Wachowicz, J. M. (2009). Fundamentals of financial management 13th ed. Pearson.
Wahyudi, U., & Pawestri, H. P. (2006). Implikasi struktur kepemilikan terhadap nilai perusahaan: dengan keputusan keuangan sebagai variabel intervening. Simposium Nasional Akuntansi, 9(1), 1–25.
Wirajaya, A., & Dewi, A. S. M. (2013). Pengaruh struktur modal, profitabilitas dan ukuran perusahaan pada nilai perusahaan. E-Jurnal Akuntansi Universitas Udayana, 4(2), 358–372.
Yogisworo, R. F., Lastiningsih, N., & Laela, H. N. (2018). The Effect of Company Size, Profitability and Financial Leverage on Income Smoothing. International Seminar on Accounting for Society, 90.
Zuhro, I. (2019). The Effects of Liquidity, Firm Size, and Profitability on the Firm Value with Mediating Laverage. The 2nd International Conference on Islamic Economics, Business, an Philanthropy (ICIEBP) Theme:“Sustainability and Socio Economic Growth.
Published
2023-05-31
How to Cite
HARNOVINSAH, Harnovinsah et al.
What Factors Influence a Firm Value? Optimistic Financial Performance.
JMK (Jurnal Manajemen dan Kewirausahaan), [S.l.], v. 8, n. 2, p. 121-133, may 2023.
ISSN 2656-0771.
Available at: <https://ejournal.uniska-kediri.ac.id/index.php/ManajemenKewirausahaan/article/view/3476>. Date accessed: 05 feb. 2025.
doi: https://doi.org/10.32503/jmk.v8i2.3476.
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Section
Artikel Ilmiah
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