This paper seeks to study the role of corporate governance in influencing stock market valuation. Corporate governance encompasses the mechanisms and principles by which companies are directed and controlled, aiming to ensure accountability, transparency, and fairness in their operations. Effective corporate governance is closely linked to higher stock market valuations for several reasons. Firstly, transparent financial reporting practices provide investors with accurate and timely information about a company's financial health and performance. This transparency reduces information asymmetry and enhances investor trust, thereby potentially increasing stock prices. Secondly, the composition and independence of a company's board of directors play a pivotal role in governance. Boards with a majority of independent directors are better positioned to oversee management decisions objectively and in the best interests of shareholders. This oversight fosters confidence among investors that the company is being governed responsibly, which can positively impact its market valuation. Additionally, executive compensation structures that align with long-term shareholder interests incentivize management to focus on sustainable growth and profitability. Companies that link executive pay to performance metrics such as earnings per share, return on equity, or total shareholder return are viewed favorably by investors, leading to higher stock valuations. Furthermore, the protection of minority shareholder rights and adherence to ethical standards are crucial aspects of corporate governance. Companies that respect shareholder rights and operate ethically are perceived as less risky and more attractive investments. This perception can lead to increased demand for their shares in the market and, consequently, higher stock prices.