DETERMINANT OF FIRM'S VALUE IN FOOD AND BEVERAGE FROM INDONESIAN STOCK EXCHANGE

Abstract

This research aimed to examine and analyze the effect profitability, leverage and liquidity on the firm value of Food and Beverage companies which were listed on Indonesia Stock Exchange (IDX) 2014 – 2018. While, profitability was measured by return on asset, leverage was measured by debt to equity ratio and liquidity was measured by current ratio. The research was quantitative. Meanwhile, the population was 26 Food and Beverages companies which was listed on Indonesia Stock Exchange 2014 – 2018. Moreover, the data collection technique used purposive sampling, in which the sample was based on criteria given. In line with, there were 12 companies as sample. In addition, the data analysis technique used multiple linear regression with SPSS 25. The research result concluded profitability had significant effect on the firm value of Food and Beverages companies. Likewise, leverage had significant effect on the firm value of Food and Beverage companies. Similar to profitability and leverage, liquidity had significant effect on the firm value of Food and Beverages companies.
Keywords: profitability, leverage, liquidity, firm value