The Effect of Profitability, Liquidity, Leverage, and Reference Coal Price (HBA) on Company Value in Coal Mining Companies Listed on the Indonesia Stock Exchange for the Period 2023–2025

Abstract

This study aims to analyze the effect of profitability, liquidity, leverage, and the Reference Coal Price (HBA) on firm value in coal mining companies listed on the Indonesia Stock Exchange for the 2023–2025 period. The study uses a quantitative approach with an explanatory design. The data used are secondary data from audited annual financial reports obtained through the Indonesia Stock Exchange (IDX), IDN Financials, and official government publications related to the Reference Coal Price. The research sample consisted of 15 coal mining companies selected using a purposive sampling technique with a total of 45 panel data observations. Firm value was measured using Price to Book Value (PBV), profitability using Return on Assets (ROA), liquidity using the Current Ratio (CR), and leverage using the Debt to Equity Ratio (DER). Data analysis was performed using panel data regression with the help of EViews software. The results show that profitability, liquidity, and leverage have a positive and significant effect on firm value, while the Reference Coal Price has a negative and insignificant effect on firm value. Simultaneously, all independent variables have a significant effect on firm value. This study concludes that profitability, liquidity, and good capital structure management can increase investor confidence and the value of coal mining companies.