FACTORS AFFECTING FIRM VALUE OF A PROPERTY AND REAL ESTATE LISTED ON THE INDONESIA CAPITAL MARKET
No Thumbnail Available
Date
2021
Journal Title
Journal ISSN
Volume Title
Publisher
Turkish Journal of Physiotherapy and Rehabilitation, Vol.32, No.2
Abstract
Creating firm value is important for all levels of the company to face the increasing business challenges. This paper is to examine factors affecting the firm value of the property and real estate listed companies on the Indonesia Stock Exchange for the period of 2013-2019. The variables used in this study are agency cost, CEO tenure, and profitability. In the way to determine the variables that have a strong influence on the firm value, 38 companies are used as samples, which are selected by using a purposive sampling technique. This study data were processed by using a panel data regression model. The result denotes that agency cost and profitability have a strong influence on the property and real estate listed companies. CEO tenure does not affect the firm value. These findings point that enhancement in the agency costs and profitability leads to raising market trust in the company which can encourage an increase in company value.