Determinants of Intrinsic Value in Plantation Companies: An Analysis of Palm Oil Productivity, Firm Size, and Financial Performance on Indonesia Stock Exchange
English
DOI:
https://doi.org/10.70471/yy9p8k06Keywords:
Palm oil industry, intrinsic value, firm size, productivity, financialAbstract
The palm oil industry is a cornerstone of Indonesia’s economy, contributing significantly to GDP, exports, and employment. As the largest global palm oil producer, Indonesia supports a vast international market but faces challenges related to productivity and sustainability. This study investigates the influence of productivity, firm size, profitability, liquidity, and leverage on the intrinsic value of plantation companies listed on the Indonesia Stock Exchange (IDX) from 2018–2022. Employing a quantitative methodology, panel data regression analysis was applied to a sample of 14 companies, selected through purposive sampling, representing a focused yet representative subset of the population. Intrinsic value was calculated using the Free Cash Flow to Firm (FCFF) model under the Discounted Cash Flow (DCF) approach. The findings reveal that firm size significantly enhances intrinsic value, indicating that larger firms benefit from economies of scale and better access to financing. However, productivity, profitability, liquidity, and leverage, while positively correlated, show statistically insignificant effects, suggesting that external factors such as global commodity price volatility and inefficiencies in financial management may play a role. This study underscores the critical role of firm size in driving intrinsic value while calling for further exploration of external factors impacting the palm oil sector. The results offer valuable insights for investors and policymakers in fostering financial performance and sustainable industry growth.
Downloads
References
Agung, J. S., & Susilawati, C. E. (2021). Dampak Pandemi Covid-19 terhadap Indeks 9 Sektor Industri di Bursa Efek Indonesia. JMBI UNSRAT (Jurnal Ilmiah Manajemen Bisnis dan Inovasi Universitas Sam Ratulangi), 8(2), 581–592. https://doi.org/10.35794/jmbi.v8i2.34049 DOI: https://doi.org/10.35794/jmbi.v8i2.34049
Anggara, L., Toni, N., Simorangkir, E. N., Road, W., & Sitepu, B. (2021). The influence of solvency and profitability on company value with company size as a moderating variable in property and real estate companies registered on the IDX in the 2016–2018 period. South East Asia Journal of Contemporary Business, Economics and Law, 24(3), 74–85.
Arifin, N. F., & Agustami, S. (2017). Pengaruh Likuiditas, Solvabilitas, Profitabilitas, Rasio Pasar, dan Ukuran Perusahaan terhadap Harga Saham (Studi pada Perusahaan Subsektor Perkebunan yang Terdaftar di Bursa Efek Indonesia Tahun 2010–2014). Jurnal Riset Akuntansi dan Keuangan, 4(3), 1189–1210. https://doi.org/10.17509/jrak.v4i3.4673 DOI: https://doi.org/10.17509/jrak.v4i3.4673
BPS Indonesia. (2022). Statistik Kelapa Sawit Indonesia 2021. Jakarta: BPS-Statistics Indonesia.
Bruno, L. C. (2017). Palm oil plantation productivity during the establishment of the Malaysian refinery sector, 1970–1990. Taylor & Francis. https://doi.org/10.1080/20780389.2017.1343660 DOI: https://doi.org/10.1080/20780389.2017.1343660
Butar-Butar, T. T. R., Fachrudin, K. A., & Silalai, A. S. (2021). Analysis of the effect of profitability and leverage on firm value with dividend policy as an intervening variable in business index companies-27, 2016–2019 period. International Journal of Research and Review, 2(1), 9–16. https://doi.org/10.56403/nejesh.v2i1.83 DOI: https://doi.org/10.56403/nejesh.v2i1.83
Damodaran, A. (2011). The Little Book of Valuation: How to Value a Company, Pick a Stock, and Profit. John Wiley & Sons. https://doi.org/10.1007/b97466 DOI: https://doi.org/10.1007/b97466
Darmawan, A., Ciptaningrum, F., Aryoko, Y. P., & Purnadi. (2020). Analisis hubungan tingkat pertumbuhan, ukuran perusahaan, dan profitabilitas terhadap nilai perusahaan dengan struktur modal sebagai variabel moderasi. Jurnal Produktivitas, 7, 152–159.
Djaja, I. (2017). All About Corporate Valuation. Jakarta: PT Elex Media Komputindo.
Fachrudin, K. A., & Meliza, J. (2014). Metode Penelitian Dilengkapi dengan Studi Kasus Manajemen Properti dan Penilaian. Medan: USU Press.
Fahriyal, A. M., Erlina, & Khaira, A. (2020). Pengaruh ukuran perusahaan, leverage, profitabilitas, dan likuiditas terhadap nilai perusahaan dengan kebijakan dividen sebagai variabel moderasi pada perusahaan industri barang konsumsi yang terdaftar di Bursa Efek Indonesia periode 2007–2018. COMPETITIVE: Jurnal Akuntansi dan Keuangan, 4(2), 94. DOI: https://doi.org/10.31000/c.v4i2.2528
Jamaluddin Majid, I. R. S. (2017). Faktor-faktor yang memengaruhi manajemen laba pada perusahaan manufaktur di BEI. Jurnal Ilmiah Akuntansi Peradaban, 3(2), 65–83.
Jihadi, M., Vilantika, E., Hashemi, S. M., Arifin, Z., Bachtiar, Y., & Sholichah, F. (2021). The effect of liquidity, leverage, and profitability on firm value: Empirical evidence from Indonesia. Journal of Asian Finance, Economics and Business, 8(3), 423–431. https://doi.org/10.13106/jafeb.2021.vol8.no3.0423 DOI: https://doi.org/10.1080/23311975.2021.1920116
Kementerian Pertanian RI. (2022). Laporan Tahunan Kementerian Pertanian. Jakarta: Kementerian Pertanian RI.
Laksmi Dewi, N. M., & Dharma Suputra, I. D. G. (2019). Pengaruh profitabilitas dan leverage pada nilai perusahaan dengan corporate social responsibility sebagai variabel pemoderasi. E-Jurnal Akuntansi, 28, 26. https://doi.org/10.24843/eja.2019.v28.i01.p02 DOI: https://doi.org/10.24843/EJA.2019.v28.i01.p02
Lumapow, L. S., & Tumiwa, R. A. F. (2017). The effect of dividend policy, firm size, and productivity to the firm value. Research Journal of Finance and Accounting, 8(22), 20–24.
Mujino, & Wijaya, A. (2021). The influence of dividend policies, debt policies, profitability, asset structure, and company size on the value of manufacturing companies in BEI 2013–2019. Business and Accounting Research (IJEBAR), 5(2), 48–62.
Mulyadi, & Mulyadi, H. (2022). Determinants of financial performance and its impact on firm value. Accounting and Finance Studies, 2(1), 77–102. https://doi.org/10.47153/afs21.3192022 DOI: https://doi.org/10.47153/afs21.3192022
Nguyen, T., Duong, H. N., & Singh, H. (2016). Stock market liquidity and firm value: An empirical examination of the Australian market. International Review of Finance, 16(4), 639–646. https://doi.org/10.1111/irfi.12082 DOI: https://doi.org/10.1111/irfi.12082
Nivanna, H., & Natalylova, K. (2022). Faktor-faktor yang berpengaruh terhadap nilai perusahaan. Jurnal Informasi, Perpajakan, Akuntansi, dan Keuangan Publik, 2, 345–354. https://doi.org/10.25105/jipak.v15i2.6968 DOI: https://doi.org/10.25105/jipak.v15i2.6968
Nurisnaini, N., Chyntia, R., & Supriadi, Y. (2023). Pengaruh produktivitas, profitabilitas, dan tingkat suku bunga terhadap harga saham. Jurnal Ilmiah Manajemen Kesatuan, 11(1), 11–20. https://doi.org/10.37641/jimkes.v11i1.1574 DOI: https://doi.org/10.37641/jimkes.v11i1.1574
PASPI. (2023). Journal Analysis of Palm Oil Strategic Issues (Vol. IV).
Pratt, S. P., & Niculita, A. (2008). Valuing a Business: The Analysis and Appraisal of Closely Held Companies. McGraw-Hill.
Rahmatullah, D. D. (2019). Pengaruh profitabilitas dan likuiditas terhadap nilai perusahaan dengan struktur modal sebagai variabel intervening. Jurnal Manajemen Akuntansi, 14(1), 112–123.
Sipayung, T. (2023a). Jurnal kelapa sawit dan sustainable. Palm Oil Agribusiness Strategic Policy Institute, 1–17.
Sipayung, T. (2023b). Kelapa sawit dan deforestasi. Palm Oil Agribusiness Strategic Policy Institute. https://palmoilina.asia/jurnal-kelapa-sawit/kelapa-sawit-dan-deforestasi/
Sinulingga, S. (2013). Metode penelitian (3rd ed.). Medan: USU Press.
Sujarweni, V. W. (2021). Analisis Laporan Keuangan. Yogyakarta: Pustaka Baru Press.
Sunardi, E. (2020). Seberapa kuat pengaruh perubahan kurs, suku bunga, pertumbuhan ekonomi, transaksi asing, efisiensi, produktivitas, total asset turn over, dan return on equity terhadap perubahan harga saham PT Semen Indonesia (Persero), Tbk. Respati, 15(3), 52. https://doi.org/10.35842/jtir.v15i3.372 DOI: https://doi.org/10.35842/jtir.v15i3.372
Tabe, R., Lapian, S. L. V. J., Murni, S., & Maramis, J. B. (2022). The effect of firm size, investment opportunity set, and capital structure on firm value. International Journal of Social Science & Entrepreneurship, 2(2), 32–46. https://doi.org/10.58661/ijsse.v2i2.42 DOI: https://doi.org/10.58661/ijsse.v2i2.42
Zhang, X., & Zhou, H. (2020). Leverage structure and stock price synchronicity: Evidence from China. PLoS ONE, 15(7), 1–15. https://doi.org/10.1371/journal.pone.0235349 DOI: https://doi.org/10.1371/journal.pone.0235349
Downloads
Published
Issue
Section
License
Copyright (c) 2024 Dewinta Rina Sitepu, Khaira Amalia Fachrudin, Narumondang Bulan Siregar (Author)
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
