Ajeng Wijaksana
Universitas Pamulang

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The Impact of Firm Size, Leverage, and Profitability on Company Value in the Pharmaceutical Sector Listed on the Indonesia Stock Exchange (Idx) for the Period 2019-2023 Ajeng Wijaksana; Jeni Irnawati
International Journal of Educational and Life Sciences Vol. 3 No. 2 (2025): February 2025
Publisher : MultiTech Publisher

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.59890/ijels.v3i2.327

Abstract

This research aims to analyze the influence of Firm Size, Leverage, and Profitability on Firm Value. The study employs a quantitative data analysis method. The population consists of all pharmaceutical companies listed on the Indonesia Stock Exchange (IDX). The sampling technique used is purposive sampling, which yielded a sample of 8 pharmaceutical companies selected based on specific criteria. Data collection was conducted using documentation techniques. The independent variables in this study are Firm Size, Debt to Equity Ratio (DER), and Return on Assets Ratio (ROA), while the dependent variable is Price to Book Value (PBV). The data analysis involves descriptive analysis using secondary data from financial reports of pharmaceutical companies for the 2019-2023 period and statistical analysis with the Eviews 12 software. The study's findings indicate that, partially, firm size positively and significantly affects firm value (0,0024 <0,05), leverage positively and significantly affects firm value (0,0076 < 0,05), and profitability does not affect firm value (0,886 > 0,05). Meanwhile, the simultaneous analysis reveals that firm size, leverage, and profitability collectively do not significantly influence firm value (0,1870 > 0,05).
The Impact of Firm Size, Leverage, and Profitability on Company Value in the Pharmaceutical Sector Listed on the Indonesia Stock Exchange (Idx) for the Period 2019-2023 Ajeng Wijaksana; Jeni Irnawati
International Journal of Educational and Life Sciences Vol. 3 No. 2 (2025): February 2025
Publisher : MultiTech Publisher

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.59890/ijels.v3i2.327

Abstract

This research aims to analyze the influence of Firm Size, Leverage, and Profitability on Firm Value. The study employs a quantitative data analysis method. The population consists of all pharmaceutical companies listed on the Indonesia Stock Exchange (IDX). The sampling technique used is purposive sampling, which yielded a sample of 8 pharmaceutical companies selected based on specific criteria. Data collection was conducted using documentation techniques. The independent variables in this study are Firm Size, Debt to Equity Ratio (DER), and Return on Assets Ratio (ROA), while the dependent variable is Price to Book Value (PBV). The data analysis involves descriptive analysis using secondary data from financial reports of pharmaceutical companies for the 2019-2023 period and statistical analysis with the Eviews 12 software. The study's findings indicate that, partially, firm size positively and significantly affects firm value (0,0024 <0,05), leverage positively and significantly affects firm value (0,0076 < 0,05), and profitability does not affect firm value (0,886 > 0,05). Meanwhile, the simultaneous analysis reveals that firm size, leverage, and profitability collectively do not significantly influence firm value (0,1870 > 0,05).