effect of managerial ownership and institutional ownership on firm value with profitability as an intervening variable in mining companies listed on the Indonesia Stock Exchange

Abstract

This study aims to obtain empirical evidence of Managerial and Institutional Ownership of the Mining firm’s value listed on the Indonesia Stock Exchange with profitability as a mediating variable. The sampling technique used purposive sampling, the research samples obtained totalled 13 companies with a research period from 2019-2022 so there were 52 units of analysis. The research design was quantitative descriptive. The analysis technique in this research is the path analysis method. The results showed that Managerial and Institutional Ownership has a significant positive effect on a firm’s value and no effect on profitability. Profitability has no direct effect or mediating effect on a firm’s value. This research implies that companies must pay attention to Managerial and Institutional Ownership and those that can affect the stock price to increase the firm’s value.