ANALYSIS OF FINANCIAL LEVERAGE, FIRM SIZE, AND GROWTH OPPORTUNITY ON COMPANY VALUE BY PROFITABILITY AS INTERVENING VARIABLES (Case Study on a Service Insurance Company listed on the Indonesia Stock Exchange in 2013-2017)

Abstract

This study aims to determine and analyze the financial leverage, firm size, and growth opportunities to the
value of the company with profitability as an intervening variable (Case Study on the Service Insurance Company at
the Indonesia Stock Exchange in 2013-2017). The sampling method used was purposive sampling method and
obtained 12 samples of companies that became the object of research.
The analysis technique used is multiple linear regression using SPSS 22 where the data uses the coefficient
of determination (R2), F test at a significant level of 5% (0.05), and path analysis. In addition, the above data were
analyzed with descriptive statistics.
The variables in this study are financial leverage, firm size, and growth opportunities. While the dependent
variable and profitability as an intervening variable. The test results show that financial leverage and growth
opportunity are not significant and negative on value. The size of the company remains significant and significant to
the value of the company in the service insurance company. The effect of financial leverage, firm size, growth
opportunities on the value of the company through profitability (ROE) indirectly and significantly has a significant
influence on the value of the company. While profitability (ROE) is not significant and significant to the value of the
company in the company.
Keywords: financial leverage, firm size, growth opportunities, profitability, firm value.