The Effect of Capital Structure and Company Growth on Company Value Through Profitability as an Intervening Variable

Abstract

The purpose of this study is to determine the effect of capital structure and company growth on firm value through profitability as variable intervening in consumer goods manufacturing companies listed on the Indonesia Stock Exchange. The method used in this study is descriptive and associative method through a quantitative approach and the data analysis method used is descriptive statistical analysis, classical assumption test, multiple regression analysis and path analysis (path analysis). The population of this research is consumer goods companies listed on the Indonesia Stock Exchange in 2019-2021. The sample is determined based on the method purposive sampling, with a total sample of 47 companies. The data used in this research is secondary data. The data collection method in this research is document study. Based on the results of the tests conducted, it shows that (1) capital structure has no positive effect on firm value, (2) company growth has no positive effect on firm value, (3) capital structure has a positive effect on profitability, (4) company growth has a positive effect on profitability , (5) profitability has a positive effect on firm value, (6) capital structure has a positive effect on firm value through profitability while company growth has no positive effect on firm value through profitability