The Influence of Cash Flow, Leverage and Profitability on Investment Decisions in Financial Distress Companies (All Companies Listed on Indonesia Stock Exchange of 2017-2019)
- DOI
- 10.2991/aebmr.k.210311.089How to use a DOI?
- Keywords
- Cash Flow, Leverage, Profitability, Investment Decisions, Financial distress
- Abstract
This study aims to analyze the effect of cash flow, leverage, and profitability on investment decisions in companies experiencing financial distress. The independent variable (X) of this study is cash flow, leverage, and research profitability. The investment decision is the dependent variable (Y). The sampling method used in this study is the Altman Z ”-Score method and purposive sampling. The study population came from all companies listed on the Indonesia Stock Exchange (IDX) during the 2017-2019 period, obtained 699 companies. The data analysis technique used descriptive statistical analysis; classical assumption test: normality test, multicollinearity test, heteroscedasticity test, autocorrelation test; multiple linear regression analysis; Hypothesis testing: T-test, -F test, the test of the coefficient of determination. The results of this study are cash flow and leverage do not affect the investment decisions of companies experiencing financial distress. Profitability has a positive effect on the investment decisions of companies experiencing financial distress.
- Copyright
- © 2021, the Authors. Published by Atlantis Press.
- Open Access
- This is an open access article distributed under the CC BY-NC license (http://creativecommons.org/licenses/by-nc/4.0/).
Cite this article
TY - CONF AU - Sonia Nanda Aprilia Putri AU - Siti Puryandani PY - 2021 DA - 2021/03/13 TI - The Influence of Cash Flow, Leverage and Profitability on Investment Decisions in Financial Distress Companies (All Companies Listed on Indonesia Stock Exchange of 2017-2019) BT - Proceedings of the 3rd International Conference on Banking, Accounting, Management and Economics (ICOBAME 2020) PB - Atlantis Press SP - 447 EP - 452 SN - 2352-5428 UR - https://doi.org/10.2991/aebmr.k.210311.089 DO - 10.2991/aebmr.k.210311.089 ID - Putri2021 ER -