RELEVANSI INFORMASI DALAM PENGAMBILAN KEPUTUSAN INVESTOR DI PASAR MODAL

Abstract

The concept of the value relevance of accounting information explains how investors react to the announcement of accounting information as an important consideration in the investment decision making process. The purpose of this study is to analyze relevant information on the capital market indicated by influence of leverage, working capital turnover, firm size, and profitability on firm value. The population in this study is the food and beverage sub-sector manufacturing industry which is listed on the Indonesia Stock Exchange (IDX) from 2015 to 2019 with a total of 80 companies. The sampling technique in this study used a purposive sampling technique, so that the criteria were companies that were consistently listed on the IDX during the study year. The research data amounted to 70 data. The research design in this study uses a causal design. The data analysis technique used is multiple linear regression analysis. The results of the study found that leverage, working capital turnover, company size, and profitability simultaneously affect firm value. Leverage and working capital turnover partially have no effect on firm value. Meanwhile, firm size and profitability partially have a positive effect on firm value. The conclusion of this study explains that large companies have better control over market conditions, so that they are able to face economic competition, thereby being able to generate large profits. Profitability is good news for investors.