Indonesian Multidiscipline of Social Journal
Vol. 2 No. 2 (2022): April 2022

THE INFLUENCE OF LIQUIDITY AND PROFITABILITY ON COMPANY VALUE IN THE MANUFACTURING SECTOR LISTED ON THE INDONESIA STOCK EXCHANGE (IDX) 2015-2019

Imat Hikmat (Universitas Primagraha)
Dwian Agustina (Universitas Primagraha)
Fitria Haquei (Universitas Primagraha)



Article Info

Publish Date
14 Apr 2022

Abstract

This research was conducted on manufacturing sector companies listed on the Indonesia Stock Exchange (IDX). The purpose of this study is to find out the significant effect of the liquidity variable with the Current Ratio (CR) proxy and the profitability variable with the Return on Assets (ROA) proxy partially and simultaneously on firm value using the Price to Book Value (PBV) measuring instrument. The population in this study amounted to 150 manufacturing sector companies listed on the Indonesia Stock Exchange (IDX), using a purposive sampling technique which in the end, only nine companies were taken as samples. This study uses secondary data in annual financial statements from 2015 to 2019 by testing the hypothesis using multiple linear regression. The results of the partial study (T-Test) show that the liquidity variable has a sig value. 0.005 < 0.050 and the value of T count > T table (-2,985 > 2.018) has a significant negative effect on firm value. while profitability has a sig value. 0.410 > 0.050 and the value of T count < T table (0.833 < 2.018) has no significant effect on firm value. And the results of simultaneous research (F-Test) M has a value of F count and F table, namely (5.515 > 3.220) and a significance value (0.007 < 0.050), indicating that liquidity and profitability together have a significant effect on firm value. Keywords: Liquidity; Profitability; Firm Value.

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Journal Info

Abbrev

amalinsani

Publisher

Subject

Religion Economics, Econometrics & Finance Education Languange, Linguistic, Communication & Media Law, Crime, Criminology & Criminal Justice

Description

Amal Insani (Indonesian Multidiscipline of Social Journal) merupakan sebuah Jurnal yang didedikasikan untuk memberi ruang kepada para peneliti, khususnya dosen dan guru untuk mempublikasikan artikel ilmiah yang dihasilkan. Scope Jurnal Amal Insani adalah berbasis pada Multidiscipline meliputi; Ilmu ...