The Effect of Profitability, Debt Policy and Dividend Policy on Firm Value with Investment Decisions as a Moderating Variable (Case Study of Manufacturing Companies Listed on the Indonesia Stock Exchange)

Abstract

This study examines the influence of Profitability, Debt Policy, and Dividend Policy on Firm Value with Investment Decisions as a moderating variable. The research object is Manufacturing Companies listed on the IDX (Indonesian Stock Exchange) from 2010-2019, consisting of 12 companies. The sampling method used is the selection of samples for research by fulfilling several criteria from the research population (purposive sampling). The data type is secondary data, with data analysis techniques using multiple linear regression tests using STATA 16 software tools. The results of this study indicate that the Investment Decision variable is proxied by the PER, significantly moderating the influence of Profitability proxied by ROA, Debt Policy is proxied by the DER, and Debt Policy is proxied by the DPR to Firm Value proxied by PBV. Profitability has a positive but not significant effect on firm value. Debt Policy has a positive and significant effect on Firm Value. Dividend Policy has a negative but not significant effect on Firm Value. Keywords: Profitability, Debt Policy, Dividend Policy, Investment Decision, Company Value.