This study aims to examine the effect of Institutional Ownership, Free Cash Flow on Dividend Policies and Stock Prices. Data analyzed are annual reports and financial statements of manufacturing companies listed on the Indonesia Stock Exchange for the period 2013-2017. The number of samples in this period was 219 samples in the period 2013-2017, companies were selected according to purposive sampling. The analysis tool used is path analysis using spss version 21.0. The results of this study that institutional ownership has a positive effect on dividend policy, free cash flow has a significant positive effect on dividend policy, institutional ownership has a significant effect on stock prices, free cash flow has a significant positive effect on stock prices, dividend policy has a significant positive effect on stock prices, Institutional ownership affects stock prices through dividend policy, and free cash flow affects stock prices through dividend policy.