PENGARUH PROFITABILITAS DAN KEPUTUSAN INVESTASI TERHADAP NILAI PERUSAHAAN

Abstract

Firm value is a perception from investors of the company’s assets often linked to stock prices. Furthermore, the
population was Food and Beverage companies listed on the Indonesia Stock Exchange (IDX). In line with that,
a higher stock price showed higher firm value. This research aimed to increase the firm's value through
profitability and investment decisions. Moreover, the data collection technique used purposive sampling, in
which the sample was based on the criteria given. In line with that, there were 116 Food and Beverage
companies listed on the IDX during 2019-2022 as the sample. Additionally, the sampling technique used nonrandom
sampling. The data analysis technique used multiple linear regressions with the SPSS (Statistical
Product and Service Solution). The result showed that the R2 value of the multiple linear regression model was
48.8%. In addition, the hypothesis test result found that both profitability and investment decisions had a
positive and significant effect on the firm value of Food and Beverage companies listed on the IDX. In other
words, when the management's role in planning and controlling on the profitability and investment decisions
was running well; firm value would increase.