AN EMPIRICAL STUDY OF PROPERTY AND REAL ESTATE COMPANIES LISTED ON THE INDONESIAN STOCK EXCHANGE

This study examines the impact of debt policy, firm size, and liquidity on firm value in property and real estate companies listed on the Indonesia Stock Exchange (IDX) from 2022 to 2024. Using a quantitative approach, this research employed multiple linear regression analysis supported by classical assumption tests. The results show that debt policy and firm size do not have a significant positive effect on firm value, indicating that high leverage and firm scale are not sufficient to enhance shareholder value in this sector. Conversely, liquidity demonstrates a significant positive effect, suggesting that firms with strong short-term financial capabilities are more attractive to investors and better able to sustain long-term value creation. Theoretically, these findings highlight the limited role of debt and firm size in improving firm value when financial risk and cash flow instability are high. Practically, the study suggests optimising capital structure, diversifying financing sources, improving cash flow management, and maintaining transparency to investors as strategies to strengthen firm value.