The Abnormal Stock Return Before And After Stock Split

Abstract

The purpose of this study was to analyze whether there is a significant abnormal return before and after the stock split event and whether there is a difference in abnormal return before and after the stock split event. The analysis method used in this research is the paired sample t-test method. The population in this study were all companies listed on the Indonesia Stock Exchange during the 2017-2022 period. The samples used in this study were 32 companies. The results of the paired sample t-test test obtained a significant value of 0.958 which means above 0.05. So the results of the paired sample t-test test of the difference in abnormal stock returns before and after the stock split event found that there was no difference in abnormal stock returns before and after the stock split event even though in that period there was a period of covid-19 crisis did not affect the abnormal stock returns of companies that had done a stock split.