Analysis of Factors That Influence Company Value in Textile and Garment Companies
Textile and garment subsector companies in Indonesia are one of the backbones of the manufacturing industrial sector and are a national priority scale industry that is prospective for development. Textile and garment subsector companies make a significant contribution to economic growth. Textile and garment subsector companies are labor-intensive industries, which employ at least 7.5 million workers. Development of industrial capacity is easily accommodated by the abundance of labor and competitive wages, especially given conditions in industrialized countries. This research aims to analyze the influence of tax planning, deferred tax, company size, profitability, and leverage on company value. The research method used was regression analysis, using a purposive sampling method to obtain a sample of seventeen companies in the textile and garment subsector for the period 2014 – 2021 which were listed on the Indonesia Stock Exchange. The research results show the following: Tax planning, company size, and profitability have a positive and significant effect on company value. However, deferred tax has a negative and significant effect on company value, while leverage has no significant effect on company value. The novelty of this research lies in the use of the Confirmatory Factor Analysis (CFA) method to measure indicators in variables, where the largest loading result is assumed to be the measuring indicator in this research
Keywords: Tax planning, deferred tax, company size, profitability, leverage, company value.
