Growth Opportunity and Firm Value in Indonesian Manufacturing Firms
Abstract
This study aims to analyze the effect of investment decisions, funding decisions, dividend decisions on firm value and whether growth opportunity affects the relationship between investment policy, funding policy and dividend policy on firm value. This research was conducted on a manufacturing company that went public on the Indonesia Stock Exchange. The number of samples in the study was 92 companies with a research period of 2015-2020 so that the amount of data analysis was 552. The data analysis technique used moderated regression analysis (MRA). The results of the study found that investment decisions have a negative effect on firm value. While funding decisions, dividend decisions have a positive effect on firm value. Growth opportunity is able to strengthen the influence of investment decisions on firm value. Growth opportunities weaken funding and dividend decisions. The results of this study indicate that growth opportunity is important information for investors, because it will be related to the sustainability and prospects of the company in the future.
Keywords
Full Text:
PDFReferences
Agung, G., Hasnawati, S., & Huzaimah, R. A. F. (2021). The Effect of Investment Decision, Financing Decision, Dividend Policy on Firm Value. Jurnal Bisnis Dan Manajemen, 17(1), 1–12. https://doi.org/10.23960/jbm.v17i1.189
Amrullah, A. A., & Wijaya, H. (2018). Dividend and Agency Conflict in Indonesian Manufacturing Firms. Jurnal Keuangan Dan Perbankan, 22(3), 395–404. https://doi.org/10.26905/jkdp.v22i3.1820
Anton, S. G. (2016). The impact of dividend policy on firm value: A panel data analysis of Romanian listed firms. Journal of Public Administration, Finance and Law, 10(10), 107–112.
Bahrun, M. F., & Firmansyah, A. (2020). Pengaruh Keputusan Pendanaan, Keputusan Investasi, Kebijakan Dividen, Dan Arus Kas Bebas Terhadap Nilai Perusahaan. Jurnal Ilmiah Akuntansi Kesatuan, 8(3), 263–276.
Basheer, M. F., Hafeez, M. H., Ali, R., & Akhtar, S. (2019). The Paradox of Managerial Dividend Policy in Corporate Malaysia. Review of Economics and Development Studies, 5(1), 197–204. https://doi.org/10.26710/reads.v5i1.394
Black, F. (1976). The dividend puzzle. The Journal of Portfolio Management, 2(2), 5–8. https://doi.org/10.3905/jpm.1996.008
Cahyaningtyas, N. W., & Muharam, H. (2022). Determinants of Capital Structure and Firm Financial Performance : Empirical Evidence on Food and Beverage Sector in. Academy of Accounting and Financial Studies Journal, 26(1), 2635.
Chandra, S., & Vivien, V. (2021). Determinants of Dividend Policy: An Empirical Study of Consumer Goods Firms in Indonesia. Journal of Asian Finance, 8(6), 71–0077. https://doi.org/10.13106/jafeb.2021.vol8.no6.0071
Chandrarin, G., & Cahyaningsih, D. S. (2018). Identifikasi Struktur Modal Melalui Profitabilitas, Pertumbuhan Penjualan dan Ukuran Perusahaan. AFRE (Accounting and Financial Review), 1(1), 36–45. https://doi.org/10.26905/afr.v1i1.2246
Chiang, K., Frankfurter, G. M., Kosedag, A., & Wood, B. G. (2006). The perception of dividends by professional investors. Managerial Finance, 32(1), 60–81. https://doi.org/10.1108/03074350610641875
Connelly, J. T., Limpaphayom, P., & Nagarajan, N. J. (2012). Form versus substance: The effect of ownership structure and corporate governance on firm value in Thailand. Journal of Banking and Finance, 36(6), 1722–1743. https://doi.org/10.1016/j.jbankfin.2012.01.017
Del Brio, E., De Miguel, A., & Pindado, J. (2003). Investment and firm value: An analysis using panel data. Applied Financial Economics, 13(12), 913–923. https://doi.org/10.1080/0960310032000082079
Dewi, D. K., Tanjung, A. R., & Indrawati, N. (2018). Analisis pengaruh free cash flow, investment opportunity set, ukuran perusahaan dan kepemilikan manajerial terhadap nilai perusahaan dengan kebijakan hutang sebagai variabel moderating (studi pada perusahaan manufaktur yang listing di Bursa Efek Indonesia. Jurnal Ekonomi, 26(2), 101–121.
Fajaryani, N. L. G. S., & Suryani, E. (2018). Struktur Modal, Likuiditas, Dan Ukuran Perusahaan Terhadap Kinerja Keuangan Perusahaan. Jurnal Riset Akuntansi Kontemporer, 10(2), 74–79. https://doi.org/10.23969/jrak.v10i2.1370
Frankfurter, G. M., & Lane, W. R. (1992). The Rationality of Dividends. International Review of Financial Analysis, 1(2), 115–129. https://doi.org/10.1016/s1057-5219(15)30010-7
Handriani, E., & Robiyanto, R. (2018). Corporate Finance and Firm Value in The Indonesian Manufacturing Companies. International Research Journal of Business Studies, 11(2), 113–127. https://doi.org/10.21632/irjbs.11.2.113-127
Handriani, E., & Robiyanto, R. (2019). Institutional ownership, independent board, the board size, and firm performance: Evidence from Indonesia. Contaduria y Administracion, 64(3), 1–16. https://doi.org/10.22201/FCA.24488410E.2018.1849
Haryanto, S. (2011). Reaksi Investor Terhadap Pengumuman Dividen Di Bursa Efek Indonesia. Jurnal Keuangan Dan Perbankan, 15(2), 213–220. https://jurnal.unmer.ac.id/index.php/jkdp/article/view/1016
Haryanto, S. (2014). Identifikasi Ekspektasi Investor Melalui Kebijakan Struktur Modal, Profitabilitas, Ukuran Perusahaan Dan Gcpi. Jurnal Dinamika Manajemen, 5(2), 183–199. https://doi.org/10.15294/jdm.v5i2.3660
Haryanto, S., Rahadian, N., Mbapa, M. F. I., Rahayu, E. N., & Febriyanti, K. V. (2018). Kebijakan Hutang, Ukuran Perusahaan dan Kinerja Keuangan Terhadap Nilai Perusahaan: Industri Perbankan di Indonesia. AFRE (Accounting and Financial Review), 1(2), 62–70. https://doi.org/10.26905/afr.v1i2.2279
Hermuningsih, S. (2013). Profitability, Growth Opportunity, Capital Structure and The Firm Value. Bulletin of Monetary Economics and Banking Volume, 16(2). https://doi.org/10.21098/bemp.v16i2
Jabbouri, I., & El Attar, A. (2018). The dividend paradox: a literature review. International Journal of Markets and Business Systems, 3(3), 197. https://doi.org/10.1504/ijmabs.2018.10014420
Kalai, H. (2014). From the “Dividend Puzzle” to the “Corporate Paradox” (1) - The Problem of Stakeholders’ Externalities, Social Welfare and the Limited Liability. SSRN Electronic Journal, 1. https://doi.org/10.2139/ssrn.2437041
Kurniawan, Y. (2018). Indonesia Most Trusted Company dan Nilai Perusahaan. AFRE (Accounting and Financial Review), 1(1), 1–8. https://doi.org/10.26905/afr.v1i1.2267
Kusna, I., & Setijani, E. (2018). Analisis Pengaruh Kinerja Keuangan, Growth Opportunity Dan Ukuran Perusahaan Terhadap Struktur Modal Dan Nilai Perusahaan. Jurnal Manajemen Dan Kewirausahaan, 6(1), 93–102. https://doi.org/10.26905/jmdk.v6i1.2155
Liaqat, I., Khan, M. A., Popp, J., & Oláh, J. (2021). Industry, Firm, and Country Level Dynamics of Capital Structure: A Case of Pakistani Firms. Journal of Risk and Financial Management, 14(9), 428. https://doi.org/10.3390/jrfm14090428
Molly, V., & Michiels, A. (2021). Dividend decisions in family businesses: A systematic review and research agenda. Journal of Economic Surveys, 35(4). https://doi.org/10.1111/joes.12460
Mtmainnah, M., Puspitaningtyas, Z., & Puspita, Y. (2019). Pengaruh Kebijakan Dividen, Keputusan Investasi, Ukuran Perusahaan dan Kepemilikan Manajerial Terhadap Nilai Perusahaan. Buletin Studi Ekonomi, 24(1), 18–36.
Mubyarto, N., & Khairiyani, K. (2019a). Kebijakan investasi, pendanaan, dan dividen sebagai determinan nilai perusahaan. Jurnal Akuntansi Multiparadigma JAMAL, 10(2), 328–341.
Mubyarto, N., & Khairiyani, K. (2019b). Kebijakan Investasi, Pendanaan, Dan Dividen Sebagai Determinan Nilai Perusahaan. Jurnal Akuntansi Multiparadigma, 10(2), 328–341. https://doi.org/10.18202/jamal.2019.08.10019
Nurlela, N., Sulastri, S., AJ, U. H., & Hanafi, A. (2019). The Influence Of Investment Decisions And Financing Decisions On Firm Value With Profitability As Intervening Variables(Empirical Study On Companies Listed In Indonesian Sharia Stock Index). International Journal of Multicultural and Multireligious Understanding, 6(2), 447. https://doi.org/10.18415/ijmmu.v6i2.758
Pamungkas, H. S., & Puspaningsih, A. (2013). Pengaruh Keputusan Investasi, Keputusan Pendanaan, Kebijakan Dividen dan Ukuran Perusahaan Terhadap Nilai Perusahaan. Jurnal Akuntansi Dan Auditing Indonesia, 17(2), 156–165.
Ramirez, F. S., & Ferrer, R. C. (2021). The mediating role of dividend policy on the impact of capital structure and corporate governance mechanisms on firm value among publicly listed companies in the philippines. DLSU Business and Economics Review, 31(1), 95–111.
Sari, N. K., & Kusuma, W. (2022). Keputusan Struktur Modal Ditinjau dari Siklus Hidup Perusahaan dan Risiko Bisnis pada Perusahaan Teknologi. AFRE (Accounting and Financial Review), 5(2).
Setiyowati, S. W., Naser, J. A., & Astuti, R. (2020). Leverage dan growth opportunity mempengaruhi nilai perusahaan melalui profitabilitas. Jurnal Ekonomi Modernisasi, 16(1), 31–40. https://doi.org/10.21067/jem.v16i1.4513
Sherine, C., Wiyanto, H., & Budiono, H. (2022). The Effect of Investment Decision, Funding Decision, and Profitability on the Firm Value of Consumer Goods Industry Registered in Indonesia Stock Exchange During 2017-2020. Proceedings of the Tenth International Conference on Entrepreneurship and Business Management 2021 (ICEBM 2021), 653(Icebm 2021), 552–559. https://doi.org/10.2991/aebmr.k.220501.084
Sukmawardini, D., & Ardiansari, A. (2018). The Influence of Intitutional Ownership, Profitability, Liquidity, Dividend Policy, Debt Policy on Firm Value. Management Analysis Journal, 7(2), 211–222. https://journal.unnes.ac.id/sju/index.php/maj/article/view/24878
Syamsudin, S., Setiadi, I., Santoso, D., & Setiany, E. (2020a). Capital Structure and Investment Decisions on Firm Value with Profitability as a Moderator. Riset Akuntansi Dan Keuangan Indonesia, 5(3), 287–295. http://journals.ums.ac.id/index.php/reaksi/index
Syamsudin, S., Setiadi, I., Santoso, D., & Setiany, E. (2020b). Capital Structure and Investment Decisions on Firm Value with Profitability as a Moderator. Riset Akuntansi Dan Keuangan Indonesia, 5(3), 287–295.
Triani, N., & Tarmidi, D. (2019a). Firm Value: Impact of Investment Decisions, Funding Decisions and Dividend Policies. International Jurnal Of Academic Research in Accounting, Finance, and Management Sciences, 9(2), 158–163. https://doi.org/10.6007/IJARAFMS/v9-i2/6107
Triani, N., & Tarmidi, D. (2019b). Firm Value: Impact of Investment Decisions, Funding Decisions and Dividend Policies. International Journal of Academic Research in Accounting, 9(2), 158–163. https://doi.org/10.6007/IJARAFMS/v9-i2/6107
Wahjudi, E. (2019). Factors affecting dividend policy in manufacturing companies in Indonesia Stock Exchange. Journal of Management Development, 39(1), 4–17. https://doi.org/10.1108/JMD-07-2018-0211
Wahyuni, F., & Amanati, H. T. (2019). Investment Decisions, Funding Decisions, Dividend, and Firm Value (Study of Companies Listed on the Indonesia Stock Exchange). 102(Icaf), 66–72. https://doi.org/10.2991/icaf-19.2019.11
Xiao, M., You, J., & Zhao, J. (2017). How Does Being Public Affect Firm Investment? Further Evidence from China. International Journal of Accounting, 52(1), 1–21. https://doi.org/10.1016/j.intacc.2017.01.006
Zaheer, R., Ahmed, S. A., Ali, S. R., & Aleem, A. (2021). Determinants Of Capital Structure - Evidence From Oil And Gas Tradable Sector Index (Ogti) Of Pakistan Stock Exchange. Journal of Contemporary Issues in Business and Government, 27(1), 129–142. https://www.researchgate.net/profile/Syed-Rashid-Ali/publication/348922408_Determinants_Of_Capital_Structure_-Evidence_From_Oil_And_Gas_Tradable_Sector_Index_Ogti_Of_Pakistan_Stock_Exchange/links/6016e551a6fdcc071ba8fb66/Determinants-Of-Capital-Structure-
DOI: https://doi.org/10.26905/afr.v5i3.8936
Refbacks
- There are currently no refbacks.
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
AFRE (Accounting and Financial Review) Postgraduate - University of Merdeka Malang Postgraduate Building, Terusan Dieng Street 62-64 | Other Link | Follow Us | |||||
Site Home Journal Unmer Malang Postgraduate LPPM Library Repository |
|
AFRE (Accounting and Financial Review) This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License. |