How Financial Ratio, Good Corporate Governance, and Firm Size Affect Firm Value in Infrastructure Companies

Abstract

This study aims to examine the factors that influence firm value. There are several factors used, including profitability, leverage, good corporate governance, and company size. The purpose of this study is to empirically examine whether profitability, leverage, good corporate governance, and firm size, influence the value of the company in infrastucture companies listed on the Indonesia Stock Exchange. The sample in this study consisted of 33 Infrastucture Companies in 2016-2021. With a purposive sampling. The data used in this research is secondary obtained from the official website of Indonesia Stock Exchange and the official website of each company. This study use Multiple Linear Regression analysis to test profitability, leverage, good corporate governance, and company size on value of company. The results of this study indicate that leverage and firm size has an effect on firm value, while profitability and good corporate governance has no effect on firm value.