This study examines whether corporate climate performance is reflected in firm valuation by synthesising recent empirical evidence, using Tobin’s Q as a forward-looking indicator of market expectations. Employing a random-effects meta-analysis of 30 peer-reviewed studies published between 2020 and 2025 across multiple industries and regions, the findings reveal a modest yet statistically significant positive association between stronger climate performance and higher market valuations, suggesting that investors increasingly incorporate climate-related information into firm pricing. Contrary to prevailing assumptions in the literature, proactive climate strategies, such as emissions-reduction initiatives, do not systematically generate greater valuation benefits than disclosure-oriented approaches; both exhibit comparable positive effects. Similarly, valuation outcomes do not differ materially between self-reported and externally verified climate data. Meta-regression analysis identifies data source as the only statistically significant moderator, although its influence remains nuanced. Overall, the results indicate that climate performance enhances firm valuation in a context-dependent manner, challenging the view that only proactive strategies or externally verified data are uniquely rewarded by financial markets. The study contributes to the sustainable and corporate finance literature by clarifying how capital markets price climate-related corporate behaviour under heterogeneous strategic responses.

Climate risk has become a defining challenge for businesses, influencing strategic decision-making, organisational resilience, and long-term performance. Despite the rapid growth of research in this area, the intellectual development and thematic evolution of climate-related corporate studies remain fragmented. This study provides a comprehensive synthesis of the literature through a bibliometric analysis and systematic review of 643 Scopus-indexed, peer-reviewed articles published between 1993 and 2025, with a systematic thematic synthesis of 23 empirical studies. Using Biblioshiny and VOSviewer, science-mapping techniques, including co-citation analysis and bibliographic coupling, were employed to examine publication trends, intellectual foundations, and major research themes. The findings indicate a shift from environmental measurement and compliance toward climate-risk management, carbon disclosure, and sustainable finance. Financial outcomes are heterogeneous, and context-dependent carbon exposure is generally associated with valuation penalties and downside risk, while the relevance of disclosure and climate strategies depends on credibility, substantive implementation, and organisational and institutional conditions. The integrated review shows that the financial implications of climate-related corporate actions are contingent upon climate-risk exposure, disclosure credibility, organisational capabilities, and institutional context. It further explains the coexistence of mixed empirical findings and identifies priorities for future research and policy. The findings offer valuable implications for researchers, corporate managers, investors, and policymakers seeking to strengthen sustainable business practices under an evolving climate risk landscape.