The Effect of Liquidity, Profitability and Firm Size on Firm Value (Case study of Manufacturing Companies in The Automotive and Components sub-sector on The Indonesia Stock Exchange)
Hadijah Febriana

Universitas Negeri Jakarta

Abstract

This study aims to determine the effect of liquidity, profitability and firm size on firm value in the automotive and component sub-sector manufacturing companies on the Indonesia Stock Exchange with an observation period of 2012 - 2021. The method in this study uses panel data regression analysis and is tested using a data processing program Eviews 12. The population in this study is the automotive and component sub-sector companies listed on the Indonesia Stock Exchange as many as 13 companies and 3 companies are used as samples in this study. The partial results of the study show that: 1) the liquidity variable has a significant positive effect on firm value, 2) the profitability variable has a significant positive ef ect on firm value, 3) the firm size variable has a significant positive effect on firm value. While the test results simultaneously identify that liquidity, profitability and firm size have a significant effect on firm value.

Keywords: liquidity, profitability, firm size, firm value

Topic: Financial