ENHANCING COMPANY VALUE: EXPLORING THE IMPACT OF SALES GROWTH, DIVIDEND POLICY, COMPANY SIZE, AND INVESTMENT OPPORTUNITY SET THROUGH CAPITAL STRUCTURE (A STUDY ON THE LQ45 STOCK INDEX FROM 2017 TO 2021)
The study examines factors affecting company value in the LQ45 index (2017-2021). Analyzing fluctuations in stock prices due to slowed growth, the study investigates how sales growth, dividend policy, company size, and investment opportunities influence company value through capital structure. Using descriptive statistics, panel data regression, and the Sobel test in Eviews 12, the findings show that only company size significantly influences capital structure. For company value, significant positive effects are observed from company size, investment opportunity set, and capital structure, while sales growth and dividend policy have no impact. The Sobel test reveals that capital structure acts as a mediator only between company size and company value.
Company Value, Capital Structure, PBV Ratio, Valuation, Corporate Finance.