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Analysis of Relationship Leverage Ratio, Liquidity Ratio, and Firm Size to Firm Value (Case Study of Manufacturing Companies in the Automotive Sub Sector Listed on the Indonesia Stock Exchange in 2017-2021)
Subject area: Science,Engineering and Technology · Area of research: Indonesia
Abstract
Firm value is the company's stock market price which is a reflection of the results of public analysis of the company's financial performance. This study aims to determine the correlation between leverage ratio, firm size, and liquidity to firm value. This research was conducted at automotive sub-sector manufacturing companies listed on the Indonesia Stock Exchange in the period 2017 ? 2021. This research uses a correlational approach. Population 9 and sample 45 with purposive sampling technique. Data analysis using panel data regression analysis. From the results of the research and discussion that has been done, it can be concluded that leverage ratios correlate with firm value, liquidity ratios do not correlate with firm value, and firm size does not correlate with firm value.
Keywords
Company Value, Leverage, Liquidity, Company Size
References
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How to cite this paper
@article{1704977,
author = {Dewi Indah Pertiwi, Samukri, Zaenudin, Ramdany},
title = {Analysis of Relationship Leverage Ratio, Liquidity Ratio, and Firm Size to Firm Value (Case Study of Manufacturing Companies in the Automotive Sub Sector Listed on the Indonesia Stock Exchange in 2017-2021)},
journal = {Iconic Research And Engineering Journals},
year = {2023},
volume = {7},
number = {2},
pages = {295-304},
issn = {2456-8880},
url = {https://www.irejournals.com/formatedpaper/1704977.pdf},
abstract = {Firm value is the company's stock market price which is a reflection of the results of public analysis of the company's financial performance. This study aims to determine the correlation between leverage ratio, firm size, and liquidity to firm value. This research was conducted at automotive sub-sector manufacturing companies listed on the Indonesia Stock Exchange in the period 2017 ? 2021. This research uses a correlational approach. Population 9 and sample 45 with purposive sampling technique. Data analysis using panel data regression analysis. From the results of the research and discussion that has been done, it can be concluded that leverage ratios correlate with firm value, liquidity ratios do not correlate with firm value, and firm size does not correlate with firm value.},
keywords = {Company Value, Leverage, Liquidity, Company Size},
month = {August},
}