Impact of Liquidity and Sales Growth on Company Value: A Case Study of Telecommunications Firms on the Indonesian Stock Exchange

Indra Riyana  Rahadjeng; Melyani Melyani; Dian Mohamad  Anwar; Ahmad  Rafik; Isyana  Emita; Wahyu  Indrarti; Dian Indah  Sari

doi:10.51903/jmi.v4i3.196

Authors

Indra Riyana Rahadjeng University of Bina Sarana Informatika, Jakarta, Indonesia, 10450
Melyani Melyani University of Bina Sarana Informatika, Jakarta, Indonesia, 10450
Dian Mohamad Anwar University of Bina Sarana Informatika, Jakarta, Indonesia, 10450
Ahmad Rafik University of Bina Sarana Informatika, Jakarta, Indonesia, 10450
Isyana Emita University of Bina Sarana Informatika, Jakarta, Indonesia, 10450
Wahyu Indrarti University of Bina Sarana Informatika, Jakarta, Indonesia, 10450
Dian Indah Sari University of Bina Sarana Informatika, Jakarta, Indonesia, 10450

DOI:

https://doi.org/10.51903/jmi.v4i3.196

Keywords:

Liquidity, Sales Growth, , Company Value

Abstract

This study investigates the impact of liquidity and sales growth on company value within the Indonesian telecommunications sector from 2020-2024. Grounded in Signaling Theory, this research employs a quantitative panel data regression on a saturated sample of five IDX-listed firms. Using the Price-to-Book Value ratio as a proxy for company value, the analysis tests the influence of the Current Ratio (liquidity) and annual sales growth. The selected Fixed Effects Model shows that both liquidity and sales growth have significant positive effects, confirming that they serve as credible signals influencing investor valuation.

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