Abstract:
This study analyzes the relationship between financial performance variables,
financial distress, and firm value. The object of this research is property
companies listed on the Indonesia Stock Exchange. The choice of research
location is based on the consideration that company value needs to be increased
by streamlining financial performance, company value and financial distress.
Meanwhile, the time required by the author in this study was two months, from
June 2021 to August 2021. In this study, the population is 40 property
companies listed on the Indonesia Stock Exchange in 2015-2019. The data
analysis method used in this study is to use multiple linear regression analysis
to analyze data and path analysis to determine the effect of intervening
variables. Path analysis is an extension of multiple linear regression analysis
which is useful for estimating the causal relationship between variables that
have been previously determined based on theory using SPSS. The results of
the analysis state that simultaneously and partially financial performance
variables and financial distress have a significant direct effect on the value of
property companies listed on the IDX. The direct effect of the financial
performance variable on firm value is greater than that on firm value through
financial distress as an intervening variable, and the t-count value of the sobel
test < from the t-table for each variable, so financial distress is not proven as an
intervening variable. Indirectly, the financial performance variable has no
significant effect on the value of manufacturing companies listed on the IDX
through financial distress as an intervening variable.
