What type of study is this?

This is a Panel Data Regression study.

September 10, 2025

The Effect of Company Size, Leverage, Profitability, and Company Growth on Company Value

Key Points

Company size negatively impacts company value, indicating smaller firms might be valued higher.
Profitability also negatively affects company value, suggesting that more profitable companies may not always translate to higher valuations.
Leverage and company growth have positive but insignificant effects on company value, highlighting variability in their influence.
Interest rates moderate the impact of profitability and growth on company value, indicating financial conditions matter for valuation.

Abstract

The purpose of this study is to examine the effect of Size, leverage, profitability, and company growth on company value, with interest rates as a moderating variable. The population in this study consists of companies in the coal sub-sector listed on the Indonesia Stock Exchange (IDX) from 2019 to 2023. The sampling technique used is purposive sampling, resulting in a total of 14 research samples being used in this study. The data analysis technique used in this study is panel data regression. The analysis results show that Size has a negative and significant effect on Firm Value; Leverage has a positive but insignificant effect on Firm Value; Profitability has a negative and significant effect on Firm Value; Firm Growth has a positive but insignificant effect on Firm Value; Interest Rate has a negative but insignificant effect on Firm Value; Interest Rate cannot moderate Size on Firm Value; Interest Rate cannot moderate Leverage on Firm Value; Interest Rate can moderate Profitability on Firm Value; Interest Rate can moderate Firm Growth on Firm Value.

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