Authors : Efraim, Joey; Endri, Endri

Volume/Issue : Volume 9 - 2024, Issue 1 - January

Google Scholar : http://tinyurl.com/3bxwmva6

Scribd : http://tinyurl.com/5f5hzn5x

DOI : https://doi.org/10.5281/zenodo.10538950

Abstract : This study provides valuable insights into the relationship between dividend announcements and their impact on stock returns and trading volume for LQ45 companies. The findings contribute to a better understanding of market dynamics and offer useful information for investors and market participants. This study investigates the influence of dividend announcements on stock returns and trading volume for LQ45 companies. Data was collected from reliable stock market websites using purposive sampling. The collected data underwent rigorous analysis using the Kolmogorov- Smirnov normality test and One-sample T-test in SPSS version 25. The results are noteworthy. Abnormal returns were observed on the day before and after the cum-dividend date for both the good news and bad newsgroups within the LQ45 Index. Furthermore, significant differences were found in the average trading volume activity within the good newsgroup. However, no significant average trading volume activity was observed in the bad newsgroup during the same period.

Keywords : Dividend Announcements, Stock Returns, Trading Volume, LQ45 Companies, Market Dynamics, Cum- Dividend, Good newsgroup, Bad News Group.