The Ex-Dividend Day Stock Price Behavior: The Case of Portugal

Abstract

Ex-dividend day, Tax clientele, Tick price, Stock price drop, G20 Financial Markets and Institutions,

Ex-Dividend Date Dan Perubahan Harga Saham

“…Hasil ini juga didukung oleh pengujian yang menunjukkan terdapat perbedaan proporsi yang signifikan antara sampel yang mengalami penurunan harga saham dengan sampel Hasil tersebut dapat menunjukan bahwa dividen masih menjadi pertimbangan investor di Bursa Efek Indonesia untuk berinvestasi di instrumen saham. Hasil ini juga sejalan dengan hasil penelitian terdahulu yang membuktikan bahwa harga saham jatuh lebih kecil dari besarnya dividen pada ex-dividend date (Elton & Gruber, 1970;Kalay 1982;Yahyaee et al, 2008;Borges, 2008). Turunya dividen tersebut sebenarnya juga dapat dijelaskan melalui Bird-in-the-hand theory yang menyatakan bahwa investor lebih menyukai dividen dibandingkan capital gain dengan anggapan bahwa dividen lebih pasti dibandingkan capital gain sehingga dividen sangat cocok untuk investor yang kebanyakan bersifat risk averse.…”

The Analysis of Dividend Announcement Impact on Stock Prices of Baltic Companies

“…However, the market can be less efficient. Since an efficient market hypothesis is a simplified theoretical approach based on fundamental assumptions, which can be violated -as shown in previous studies (Borges, 2009;Mallikarjunappa & Manjunatha, 2009;Vazakidis & Athianos, 2010), it is important to assume that the possibility to get abnormal returns exists and the width of event window used in the research helps to represent those expectations of the possible market inefficiency. Hence, the more inefficient the market is expected to be, the wider the event window that should be used.…”

“…Previous studies, which report weak efficiency of the market, are rather broad. Borges (2009) examined the ex-dividend day behavior of stock prices in the Lisbon Stock Market (Portugal) over the period 1990-1998 using 446 observations from 121 firms. This study found that on the ex-day stock prices fall by the amount less than the dividend, which could be treated as an anomaly thus reflecting a less than efficient market with low liquidity levels, price stickiness, and insipid arbitrage trading.…”

“…A literature analysis (Abbas, 2015;Awan, Bashir, 2015;Bozos, 2015;Chavali & Nusratunnisa, 2013;Chowdhury &Soaner, 2015;Dasilas & Leventis, 2011;Faloye & Oluwole, 2014;Gejalakshmi & Azhagaiah, 2015;Laabs & Bacon, 2013;Manzoor, 2015;Tauseef & Nishat, 2015) revealed relatively many publications on how dividend announcements impact stock prices in different continents but in Europe, especially in Eastern Europe such literature is scarce. Previous studies checked the reliability of efficient market hypothesis in Greece (Dasilas & Leventis, 2011;Vazakidis & Athianos, 2010), Oman (Al-Yahyaee et al, 2011), India (Chavali & Nusratunnisa, 2013;Mallikarjunappa & Manjunatha, 2009), Portugal (Borges, 2009), Pakistan (Tauseef & Nishat, 2015), etc. Even though previous literature regarding stock prices' reaction to dividend announcements is rather broad, as far as it is known, no previous studies in this field in the Baltic market have been conducted.…”

Analysis of the relationship between the announcements of dividend payout decisions of football clubs and the returns of shares using the event analysis method

“…In the scientific literature dividend policies and their impact of stock prices mostly discussed in the context of signalling theory and efficient market hypothesis, however over the last decade researchers have started to investigate if those theories are still relevant and if the other theories such as agency and behavioral theories may be the better theoretical frameworks to explain the movements of stock price (Legenzova et.al, 2017). There are many studies in the previous literature investigating the effect of dividend announcements on stock prices (Borges, 2009;Dasilas and Leventis, 2011;Sulaiman and Migiro, 2015). Even though previous literature regarding stock prices' reaction to dividend announcements is rather broad, there are still few studies analyzing the effect of football club dividend announcements 9th Istanbul Finance Congress (IFC -2020), Vol.12-p.31-34 Kevser, Dogan _____________________________________________________________________________________________________ DOI: 10.17261/Pressacademia.2020.1343 32 PressAcademia Procedia on stock returns in the context of Turkey.…”