Ilomata International Journal of Management
Vol. 4 No. 4 (2023): October 2023

The Effect of Profitability, Liquidity, Leverage, Dividend Policy and Foreign Ownership on Firm Value

Nadia, Refika (Unknown)
Midiastuty, Pratana Puspa (Unknown)
Suranta, Eddy (Unknown)
Putra, Danang Adi (Unknown)



Article Info

Publish Date
22 Nov 2023

Abstract

This research aims to empirically test the influence of profitability, liquidity, leverage, dividend policy and foreign ownership on firm value. The sample used in this research is manufacturing companies listed on the Indonesia Stock Exchange with a research period of 2018-2022. The sampling technique used a purposive sampling method with predetermined criteria there were 55 observations. The research results provide empirical evidence that leverage and foreign ownership have a positive and significant effect on firm value, while profitability, liquidity and dividend policy have no effect on firm value. This research provides implications for capital structure theory which states that the use of higher leverage will increase firm value and also provides implications for agency theory in explaining the relationship between foreign ownership and firm value and provides implications for signal theory in explaining the relationship between profitability and dividend policy on firm value.

Copyrights © 2023






Journal Info

Abbrev

ijjm

Publisher

Subject

Decision Sciences, Operations Research & Management

Description

Ilomata International Journal of Management With ISSN : 2714-8963 (Online) - 2714-8971 (Print) is published by Yayasan Ilomata, committed to publishing scholarly empirical and theoretical research articles, that have a high impact on the management field as a whole. The journal encourages new ideas ...