Comparative Analysis of Liquidity and Abnormal Return Before and After Stock Split (Case Study on the Company Taking Sock Split Period 2013-2014)
Authors
Andrieta Shinta Dewi
Management Business of Technology and Informatics, Faculty of Economics and Business, Telkom University, Bandung
Andrea Zulfiah
Management Business of Technology and Informatics, Faculty of Economics and Business, Telkom University, Bandung
Abstract
This study will analyze the differences of two variables, liquidity and abnormal returns before and after stock split event on the companies listed in Indonesia Stock Exchange period 2013-2014. The method used verification with event study approach. Observations were made for abnormal return average and trading volume activity average for 10 days before, the event date, and 10 days after the event. The population in this study is company that do stock split and listed on Indonesia Stock Exchange (IDX). Hypothesis testing used different test analysis model (T-test Paired Two Sample) with significant level of 5%. The result showed that there was no significant difference between the liquidity and abnormal return before and after stock split event on companies taking stocksplit in Indonesia Stock Exchange period 2013-2014.
