| This research is a study with the aim of testing the hypothesis about the factors that influence the value of the company by looking at dividend policy as an intervening variable. The purpose of this study was to examine the effect of leverage, profitability and dividend policy on firm value simultaneously and want to test the direct and indirect influence between leverage and profitability of the company's value through dividend policy as an intervening variable. Variable value of the company is proxied by the price-book value ratio (PBV), dividend policy is proxied by the dividend payout ratio (DPR), leverage is proxied by debt equity ratio (DER) and profitability is proxied by return on assets (ROA). Basic theory used to support this research is agency theory, capital structure theory, signaling theory and the theory of dividend policy. The population in this study is the manufacturing sector companies listed on the stock exchanges of Indonesia in 2012-2014. The research sample was determined by purposive sampling method with a total sample of 149 companies. While the analysis method of this research is path analysis technique with the help of AMOS program. The results obtained from the sub-structure of the first study showed that, leverage and profitability variables had no significant effect on dividend policy. Variable leverage is negatively related to the dividend policy, while the profitability variables are positively related to dividend policy. Meanwhile, the results of the second substructure study found that variable leverage, profitability and dividend policy and a significant positive effect on firm value. The results also indicate dividend policy is not capable of mediating the indirect influence of the variable leverage and profitability of the company's value. The results support agency theory, signaling theory and capital structure. |