The Dynamic Impact of Intellectual Capital on Firm Value: Evidence from Indonesia

DOI

10.2991/978-94-6463-154-8_23How to use a DOI?

Keywords

Institutional ownership; intellectual capital; financial ratio and firm value

Abstract

Increasing business growth encourages companies to increase company achievements, prosper shareholders and grow company value. This study aims to show the effect of the mechanism of Institutional Ownership, Leverage, Profitability, Intellectual Capital, Current Ratio, and Earning Per Share on Firm Value and the effect of independent commissioners as a moderating variable. The study used secondary data from financial reports listed on the IDX for 2017–2021. Analysts data with multiple linear regression using SPSS 26. This test proves that profitability and leverage positively affect firm value. In contrast, institutional ownership, intellectual capital, current ratio, and earnings per share have a negative impact on firm value. Other results show that independent commissioners can moderate by weakening the link between leverage and company value. Still, independent commissioners cannot moderate the relationship between intellectual capital and the importance of financial sector companies listed on the Indonesia Stock Exchange for 2017–2021. This research contributes knowledge about the relationship between institutional ownership, leverage, intellectual capital, current ratio, earnings per share, and company value. Intellectual capital as a novelty is used to determine how influential intellectual capital is in increasing company value. In this study, an independent commissioner was used to influence the relationship between the independent variables and the dependent variable.

Copyright

© 2023 The Author(s)

Open Access

Open Access This chapter is licensed under the terms of the Creative Commons Attribution-NonCommercial 4.0 International License (http://creativecommons.org/licenses/by-nc/4.0/), which permits any noncommercial use, sharing, adaptation, distribution and reproduction in any medium or format, as long as you give appropriate credit to the original author(s) and the source, provide a link to the Creative Commons license and indicate if changes were made.

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TY  - CONF
AU  - Dina Ermawati
AU  - Nurcahyono Nurcahyono
AU  - Desi Novita Sari
AU  - Iwan Fakhruddin
PY  - 2023
DA  - 2023/05/22
TI  - The Dynamic Impact of Intellectual Capital on Firm Value: Evidence from Indonesia
BT  - Proceedings of the International Conference on Business, Accounting, Banking, and Economics (ICBABE 2022)
PB  - Atlantis Press
SP  - 246
EP  - 262
SN  - 2352-5428
UR  - https://doi.org/10.2991/978-94-6463-154-8_23
DO  - 10.2991/978-94-6463-154-8_23
ID  - Ermawati2023
ER  -