The study aimed to identify the effect shareholder activism and green innovation efficiency on managerial overconfidence in the Egyptian environment. To achieve this goal, this study was applied to a group of companies listed on the Egyptian stock market in various sectors, through content analysis of the annual financial reports of these companies during the period, 2019-2023. Based on the results of the statistical analysis of the study data and testing the hypotheses, the researcher concluded that shareholder activity leads to reducing managerial overconfidence, the interpretation coefficient reached 46.4%. In the same context, the efficiency of green innovation also works to reduce managerial overconfidence.  and the interpretation coefficient reached 36%, while when both shareholder activity and green innovation efficiency were entered together in the regression model, this led to a greater impact on reducing managerial overconfidence, as the interpretation coefficient reached 56.2%, which is greater than the explanatory coefficient in the case of entering each variable separately.