EFFECT OF PROFITABILITY, SIZE COMPANY, BUSINESS RISKS, OPPORTUNITIES GROW, MANAGERIAL OWNERSHIP, ASSET STRUCTURE AND OWNERSHIP STRUCTURE ON INSTITUTIONAL CAPITAL (CASE STUDY ON MINING COMPANY LISTED IN BEI PERIOD 2012-2014

Abstract

The capital structure is an important issue for any company, because of the good and bad capital structure of the company will have a direct effect on its financial position. A company that has the capital structure is not good, which has a huge debt would place a heavy burden to the company. With the increase in leverage, the value of the company is first increased to a maximum and then decreases. So the company assessment criteria can be used as guidelines in determining the company's capital structure is desired.
The purpose of this study is to empirically examine the effect of profitability, company size, business risks, opportunities for growth, management ownership, institutional ownership structure of the assets and the capital structure of mining companies listed on the Stock Exchange from 2012 to 2014.
This study uses profitability, company size, business risks, opportunities for growth, property management, asset structure and institutional ownership as an independent variable and capital structure as the dependent variable. The sampling technique was by purposive sampling. The samples are companies mining company listed on the Stock Exchange 2012 - 2014 are recalled in a row. The analysis method used is quantitative analysis, including descriptive statistical analysis, logistic regression analysis, and analysis of the model goodness.
Based on test results, profitability, business risk and institutional ownership has a negative effect on the capital structure, while the size of the company and the opportunity to grow a positive effect on the capital structure. While managerial ownership and asset structure has no effect on the capital structure. Based on the test results showed that showed that the regression model can be used to predict the structure of capital. While variations in capital structure is able to be explained by the independent variable of 28.1%.
Key words: profitability, company size, business risks, opportunities for growth, property management, asset structure, institutional ownership, capital structure.