• DR. CHANDRAVATHI

Companies often split shares of their stock to make them more affordable to investors. Unlike issuing new shares, a stock split does not dilute the ownership interests of existing shareholders. A stock split is when a company’s board of directors’ issues more shares of stock to its current shareholders without diluting the value of their stakes. A stock split increases the number of shares outstanding and lowers the individual value of each share. While the number of shares outstanding change, the overall valuation of the company and the value of each shareholder’s stake remains the same. The current study is aimed at understanding the reaction of stock market for the announcement of stock split. The findings and suggestions of the study would help the investors to decide their investment decision during the time of stock split announcement by the companies.

Abnormal return, announcement, expected return, event window, stock split.

"REACTION OF STOCK PRICES FOR THE CORPORATE STOCK SPLIT ANNOUNCEMENT", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.9, Issue 4, page no.b572-b579, April-2022, Available :http://www.jetir.org/papers/JETIR2204173.pdf

"REACTION OF STOCK PRICES FOR THE CORPORATE STOCK SPLIT ANNOUNCEMENT", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.9, Issue 4, page no. ppb572-b579, April-2022, Available at : http://www.jetir.org/papers/JETIR2204173.pdf