Pengaruh Cash Holding dan Financial Leverage terhadap Nilai Perusahaan Sektor Teknologi yang Terdaftar di BEI

Abstract

The technology sector exhibits higher fluctuations in index performance compared to other sectors, indicating shifting investor perceptions of firms’ growth prospects, as reflected in the decline in Price to Book Value (PBV) over the 2021-2024 period. This condition suggests that investors increasingly consider firms’ fundamental factors when assessing firm value. Cash holding reflects a firm’s ability to maintain liquidity to support operational activities and investment opportunities, while financial leverage represents the use of debt in the capital structure, which may support business expansion but also increase financial risk. This study aims to examine and analyze the effect of cash holding and financial leverage on the firm value of technology sector companies listed on the Indonesia Stock Exchange for the 2021-2024 period. This research employs a quantitative approach using secondary data in the form of annual financial statements collected through documentation methods. The sample was determined using purposive sampling, resulting in 12 companies and 48 observations. The analysis method applies panel data regression with the Fixed Effect Model (FEM) using EViews 13 software. The results indicate that cash holding has a positive and significant effect on firm value, while financial leverage has a negative and significant effect on firm value. Simultaneously, cash holding and financial leverage significantly influence firm value, with an Adjusted R² value of 76,31%. These findings suggest that effective cash holding policies can increase firm value, while high levels of financial leverage usage may increase financial risk and decrease firm value.