According to Ohlson(1995)’s residual income model, firm value is determined by weighted average between residual income and book value of equity. Prior researchers suggest that economic circumstances or characteristics influence the relation between earnings(or equity)and stock price. Some of the studies show that external(or internal) factors of firms affect those relations. For example, Barth et al.(1998) argues that as the financial risk increases the price multiple on earnings decreases, but the price multiple on book value of equity increases because of liquidation risk. Also, Burgstahler and Dichev(1997) suggests that equity value depend on the relative values of earnings and book value, and earnings is more important determinant of equity value when ROE is high, but book value becomes the more important determinant of equity value when ROE is low. Lastly, Paek and Choi(1999) shows that earnings’ persistence affects firm valuation, and earnings’ persistence is positively associated with price earnings ratio, but negatively associated with price to book value ratio. The purpose of this study is to investigate whether the corporate life cycle has a differential effect on the external or internal firm valuation factors? If it does, will the corporate life cycle has a differential effect on earnings-price multiples or book value-price multiples? We predict that the earnings’ persistence and ROE in maturity stage is higher than those of growth(or decline) stage, and the financial risk in maturity stage is lower than that of growth(or decline) stage. Also, the earnings-price multiples in maturity stage is higher than that of growth(or decline) stage, but book value-price multiples in maturity stage is lower than that of growth(or decline) stage. To test our hypotheses, we measure corporate life cycle based on sales growth, capital expenditures, M/B ratio, retained earnings’ ratio and employee growth as in prior studies. Also, external(or internal) firm valuation factors are measured by earnings’ variation and/or the persistence of residual income for earnings’ persistence(as in Kumar and Krishnan 2008,Paek and Choi 1999), current earnings divided by prior period book value for ROE(as in Burgsthaler and Dichev 1997), the score of credit rating for financial risk(as in Barth et al. 1998). Also, we use Ohlson(1995) model to relate stock prices to earnings and book value. An empirical analysis is performed for non-banking firms(2,412 firm-years) listed on the Korean Exchange over 2003～2008. The results are summarized as follows. The ROE and earnings’ persistence in maturity stage is higher than those of growth(or decline) stage, and the financial risk in maturity stage is lower than that of the other stages. Also, earningsprice multiples is the highest in maturity stage, but book value-price multiples is the lowest in maturity stage. The results imply that corporate life cycle has important effect on external or internal factors(for example, earnings’ persistence, ROE or financial risk) for firm valuation. Also, corporate life cycle has differential effect on the value relevance of earnings and equity. Finally, the results of this study provide one evidence for the discrepancy of prior studies’results. For example, Dechow(1994) shows that in growth stage with high operational variation,price is more closely related with earnings than cash flow because of time lag and correspondence of revenue-expenditure recognition. However, Black(1998) and Choi et al.(2006) report conflicting results with Dechow(1994).