The effect of ingtangible assets on the firm value: The case of construction companies listed on the stock market of Vietnam

Abstract

This study examines the impact of intangible assets on the firm value of the construction industry listed on the Vietnam stock market with panel data of 71 companies from 2011 to 2020. The paper uses estimation methods, such as Pooled Least Squares (Pooled OLS), fixed effects model (FEM), and random effects model (REM) but in the end, the article uses FEM robust after performing the tests, such as: F test, Lagrange multiplier test, Hausman test, multicollinearity, homoscedasticity as well as autocorrelation.. The research results show that: Tangible assets (IA), debt-to-asset ratio (DAR), inflation (INFL), the exchange rate (USDRATE) have a negative impact on firm value with high reliability, represented by two criteria: Tobin's Q; P/B but variables: GDP growth (GDPGR); unemployment rate (UNEMP), stock market index (VNINDEX) give opposite results. Besides, the research results also show that: There is no scientific evidence on the impact of firm size (SIZE), liquidity (CR), revenue growth (SGR), and return on assets (ROA) on firm value. This research result is the basis for the article to make policy implications increasing firm value.