Determinants of Firm Value in Indonesian Healthcare Sector

Abstract

This research investigates liquidity, profitability, growth, and ownership structure effects on healthcare company valuations. Utilizing purposive sampling methodology, twelve companies were analyzed from Indonesia Stock Exchange listings during 2019-2023. Multiple regression analysis through SPSS 26 examined current ratios, returns on assets, asset growth, and institutional ownership influences on Tobin's Q. Findings reveal liquidity and profitability demonstrate insignificant effects, whereas growth and ownership structure significantly impact firm value. Collectively, independent variables substantially influence valuations. These results provide critical insights for healthcare sector financial management and investment decision-making processes within emerging market contexts.