PENGARUH STRUKTUR MODAL, PROFITABILITAS, DAN KEPUTUSAN INVESTASI TERHADAP NILAI PERUSAHAAN

Abstract

This research aimed to examine the effect of capital structure, profitability, and investment decision on the company value of coal mining companies which were listed on Indonesia Stock Exchange 2013 – 2017. The population was 22 coal mining companies. While, the sampling collection technique used purposive sampling in which there were seven companies as sample. Moreover, the research was quantitative with the data analysis technique of multiple linear regression. The data result concluded the capital structure had negative but significant effect on the firm value. It meant, the greater the company debt, the higher the risk and costs would be. Moreover, it affected the investors preceptions of investing. Fourthermore, the profitability had also negative but significant effect on the firm value. In other words, the higher profit had not been able to provide investor prosperity. Fortunately, it could cover the high operational costs. In addition, the investment decision had positive and significant effect on the firm value. As consequence, the investment increase made positive prospects in the future in which it increased the company value.In brief, the companies had to pay more attention to debts, profitability, and their investment in order to maximize the firm value as the investors considerated.

Keywords: firm value, capital structure, profitability, investment decision.