This research article examines the relationship between dividend payout (DP) policy and firm value (FV), with a focus on the impact of the age and size of the firm. The study used a panel regression model to analyze the data of 657 companies for seven years with 4,599 firm-year observations, and results indicate that DP positively influences the FV of Indian firms. However, when analyzing the relationship based on age and size, it is found that there is no statistically significant relationship for younger and smaller firms. This supports the maturity hypotheses theory, suggesting that younger and smaller firms need to rely on other strategies to influence market value, while larger and older firms with more resources and experience can positively impact market value through DP. The study highlights the importance of considering age and size effects on the relationship between DP and FV.
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