INFLUENCE OF CAPITAL STRUCTURE, RETURN ON EQUITY, LIQUIDITY AND GROWTH OPPORTUNITY FOR COMPANY VALUE ON SERVICE COMPANIES

Abstract

This research aims to analyze the influence of capital structure, return on equity (ROE), liquidity, and growth opportunity on the value of service companies listed on the Indonesia Stock Exchange (BEI). The type of data used in this research is quantitative data, namely financial reports of service companies listed on the Indonesia Stock Exchange from 2018-2020 This data was obtained via the Indonesian Stock Exchange website www.idx.co.id or the Indonesian Stock Exchange Yogyakarta Representative Office. The analytical method used is multiple linear regression. The research results show that capital structure and liquidity do not affect company value, while Return on equity (ROE) has a significant positive effect on company value, indicating that the higher the return on equity, the higher the company value. Growth opportunity has a significant positive effect on company value, shows that good growth prospects can increase company value. This research provides implications for service company management in making strategic decisions regarding capital structure, liquidity management, and utilizing growth opportunities to increase company value corporate finance, especially related to service companies in Indonesia