UNIMAL Open Conference System, 2nd International Conference on Finance Economics and Business (ICOFEB)

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The Effect of Financial Performance on Company Value with Dividend Policy as a Moderating Variable in LQ45 Index Companies
Hajarani Nitura

Last modified: 2023-11-17

Abstract


This research aims to determine whether there is financial performance that proxied by Return on Assets (ROA), Return on Equity (ROE), and Net Profit Margin (NPM) on the firm's value with dividend policy as a moderating variable. This research uses a descriptive method with survey techniques on LQ45 Index,  Indonesia Stock Exchange (IDX) for the 2018-2022 period with secondary analysis using quantitative methods. This research using simple Linear Regression Analysis and Moderated Regression Analysis (MRA) with the help of SPSS 24.0 program as the analysis tool. The results of this research indicate that the Return on Assets (ROA) and Return on Equity (ROE) has a positive significant influence on the firm's value, Net Profit Margin (NPM) has negative and non-significant on the firm’s value. And the Dividend Payout Ratio (DPR) as a homologizer moderator.


Keywords


Financial Performance, Return on Assets (ROA), Return on Equity (ROE), and Net Profit Margin (NPM), Dividend Policy, Firm's Value