Year: 2023 | Month: December | Volume: 10 | Issue: 12 | Pages: 462-475
DOI: https://doi.org/10.52403/ijrr.20231251
The Effect of Corporate Social Responsibility, Capital Structure, Managerial Ownership, and Profitability on Firm Value with Investment Opportunity Set as a Moderation Variable in Property and Real Estate Companies Listed on the Indonesia Stock Exchange
Sonya Franciska Br Ginting1, Azhar Maksum2, Khaira Amalia Fachrudin3
1,2,3Department of Accounting, Faculty of Economics and Business Universitas Sumatera Utara, Indonesia
Corresponding Author: Sonya Franciska Br Ginting
ABSTRACT
Firm value is defined as market value because firm value can provide maximum shareholder prosperity if the company's share price increases. This research analyzes the influence of corporate social responsibility, capital structure, managerial ownership, and profitability on firm value in Property and Real Estate companies listed on the Indonesia Stock Exchange for 2016-2021. This research will also examine the investment opportunity set variable, used as a moderating variable in the research model. The population of this research is represented by property and real estate companies listed on the Indonesia Stock Exchange for the 2016-2021 period. A target population was selected based on this population, all of which became the research sample of 35 companies. The number of observations used was 210 observations. The data type used is secondary data, and the hypothesis testing used is panel data regression analysis with multiple linear regression tests and interaction moderation tests with the help of EVIEWS software. The results of this research show that corporate social responsibility, managerial ownership, and profitability have a significant positive influence on firm value.
In contrast, capital structure does not have a significant influence on firm value. This research also shows that the investment opportunity set can moderate the influence of capital structure and profitability on firm value. However, the investment opportunity set cannot moderate the influence of corporate social responsibility and managerial ownership on firm value.
Keywords: corporate social responsibility, managerial ownership, capital structure, profitability, firm value, investment opportunity set.
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