This research investigates how Environmental, Social, and Governance (ESG) practices relate to firm value, with particular attention to whether institutional ownership alters the strength of that relationship. A quantitative design was applied, drawing on secondary data financial statements and sustainability disclosures from food and beverage manufacturers listed on the Indonesia Stock Exchange (IDX) between 2022 and 2024. Applying purposive sampling criteria narrowed the population to 19 firms, generating 57 firm-year observations for analysis. Price to Book Value (PBV) serves as the proxy for firm value, while ESG is captured through a disclosure scoring system built on the 2021 GRI Standards; institutional ownership is calculated as the share of outstanding stock held by institutional entities. Multiple linear regression together with Moderated Regression Analysis (MRA) was run in SPSS to test the hypothesized relationships. The findings indicate that, taken individually, neither ESG nor institutional ownership exerts a statistically significant influence on firm value. Institutional ownership, however, does emerge as a significant moderator of the ESG–firm value relationship.

Keywords: ESG, firm value, institutional ownership.