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The effect of stock splits on the ownership structure of firms

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  • Mukherji, Sandip
  • Kim, Yong H.
  • Walker, Michael C.

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  • Mukherji, Sandip & Kim, Yong H. & Walker, Michael C., 1997. "The effect of stock splits on the ownership structure of firms," Journal of Corporate Finance, Elsevier, vol. 3(2), pages 167-188, April.
    • Handle: RePEc:eee:corfin:v:3:y:1997:i:2:p:167-188
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    References listed on IDEAS

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    1. Obrien, Pc & Bhushan, R, 1990. "Analyst Following And Institutional Ownership," Journal of Accounting Research, Wiley Blackwell, vol. 28, pages 55-76.
    2. Copeland, Thomas E, 1979. "Liquidity Changes Following Stock Splits," Journal of Finance, American Finance Association, vol. 34(1), pages 115-141, March.
    3. Ohlson, James A. & Penman, Stephen H., 1985. "Volatility increases subsequent to stock splits: An empirical aberration," Journal of Financial Economics, Elsevier, vol. 14(2), pages 251-266, June.
    4. Grinblatt, Mark S. & Masulis, Ronald W. & Titman, Sheridan, 1984. "The valuation effects of stock splits and stock dividends," Journal of Financial Economics, Elsevier, vol. 13(4), pages 461-490, December.
    5. Dubofsky, David A, 1991. "Volatility Increases Subsequent to NYSE and AMEX Stock Splits," Journal of Finance, American Finance Association, vol. 46(1), pages 421-431, March.
    6. Brennan, Michael J. & Copeland, Thomas E., 1988. "Stock splits, stock prices, and transaction costs," Journal of Financial Economics, Elsevier, vol. 22(1), pages 83-101, October.
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    8. Dennis Murray, 1985. "Further Evidence On The Liquidity Effects Of Stock Splits And Stock Dividends," Journal of Financial Research, Southern Finance Association;Southwestern Finance Association, vol. 8(1), pages 59-68, March.
    9. Szewczyk, Samuel H & Tsetsekos, George P, 1993. "The Effect of Managerial Ownership on Stock Split-Induced Abnormal Returns," The Financial Review, Eastern Finance Association, vol. 28(3), pages 351-370, August.
    10. Lakonishok, Josef & Lev, Baruch, 1987. "Stock Splits and Stock Dividends: Why, Who, and When," Journal of Finance, American Finance Association, vol. 42(4), pages 913-932, September.
    11. Jensen, Michael C. & Meckling, William H., 1976. "Theory of the firm: Managerial behavior, agency costs and ownership structure," Journal of Financial Economics, Elsevier, vol. 3(4), pages 305-360, October.
    12. Slovin, Myron B & Sushka, Marie E, 1993. "Ownership Concentration, Corporate Control Activity, and Firm Value: Evidence from the Death of Inside Blockholders," Journal of Finance, American Finance Association, vol. 48(4), pages 1293-1321, September.
    13. Brown, Stephen J. & Warner, Jerold B., 1985. "Using daily stock returns : The case of event studies," Journal of Financial Economics, Elsevier, vol. 14(1), pages 3-31, March.
    14. Edmister, Robert O & Subramanian, N, 1982. "Determinants of Brokerage Commission Rates for Institutional Investors: A Note," Journal of Finance, American Finance Association, vol. 37(4), pages 1087-1093, September.
    15. Michael T. Maloney & J. Harold Mulherin, 1992. "The Effects of Splitting on the Ex: A Microstructure Reconciliation," Financial Management, Financial Management Association, vol. 21(4), Winter.
    16. Lamoureux, Christopher G & Poon, Percy, 1987. "The Market Reaction to Stock Splits," Journal of Finance, American Finance Association, vol. 42(5), pages 1347-1370, December.
    17. McNichols, Maureen & Dravid, Ajay, 1990. "Stock Dividends, Stock Splits, and Signaling," Journal of Finance, American Finance Association, vol. 45(3), pages 857-879, July.
    18. Brown, Philip & Kleidon, Allan W. & Marsh, Terry A., 1983. "New evidence on the nature of size-related anomalies in stock prices," Journal of Financial Economics, Elsevier, vol. 12(1), pages 33-56, June.
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    Cited by:

    1. Huang, Gow-Cheng & Liano, Kartono & Pan, Ming-Shiun, 2009. "The information content of stock splits," Journal of Empirical Finance, Elsevier, vol. 16(4), pages 557-567, September.
    2. Ranjan D'Mello & Oranee Tawatnuntachai & Devrim Yaman, 2003. "Why Do Firms Issue Equity after Splitting Stocks?," The Financial Review, Eastern Finance Association, vol. 38(3), pages 323-350, August.
    3. Becht, Marco & Bolton, Patrick & Roell, Ailsa, 2003. "Corporate governance and control," Handbook of the Economics of Finance, in: G.M. Constantinides & M. Harris & R. M. Stulz (ed.), Handbook of the Economics of Finance, edition 1, volume 1, chapter 1, pages 1-109, Elsevier.
    4. Chia, Yee-Ee & Lim, Kian-Ping & Goh, Kim-Leng, 2020. "More shareholders, higher liquidity? Evidence from an emerging stock market," Emerging Markets Review, Elsevier, vol. 44(C).
    5. Lin, Ji-Chai & Singh, Ajai K. & Yu, Wen, 2009. "Stock splits, trading continuity, and the cost of equity capital," Journal of Financial Economics, Elsevier, vol. 93(3), pages 474-489, September.
    6. Maria Chiara Iannino & Sergey Zhuk, 2020. "Signaling through Timing of Stock Splits," Discussion Paper Series, School of Economics and Finance 202009, School of Economics and Finance, University of St Andrews, revised 18 Jun 2021.
    7. Adam Zaremba & Jacob Koby Shemer, 2018. "Price-Based Investment Strategies," Springer Books, Springer, number 978-3-319-91530-2, November.
    8. Bilal Ahmad Pandow & Khurshid Ahmad Butt, 2019. "Impact of Share Splits on Stock Returns: Evidences from India," Vision, , vol. 23(4), pages 432-441, December.
    9. Ding, Mingfa & Suardi, Sandy, 2019. "Government ownership and stock liquidity: Evidence from China," Emerging Markets Review, Elsevier, vol. 40(C), pages 1-1.
    10. Bill B. Francis & Iftekhar Hasan & Mingming Zhou, 2013. "The effects of stock splits on the bid-ask spread of syndicated loans," International Journal of Banking, Accounting and Finance, Inderscience Enterprises Ltd, vol. 5(1/2), pages 159-187.
    11. Pradip Banerjee & Prithviraj S. Banerjee, 2012. "Signalling Hypothesis and Clientele Shifts: Evidence from Indian Stock Splits," Global Business Review, International Management Institute, vol. 13(2), pages 297-309, June.
    12. Hongrui Feng & Shu Yan, 2019. "CEO incentive compensation and stock liquidity," Review of Quantitative Finance and Accounting, Springer, vol. 53(4), pages 1069-1098, November.
    13. Desai, Chintal A. & Savickas, Robert, 2010. "On the causes of volatility effects of conglomerate breakups," Journal of Corporate Finance, Elsevier, vol. 16(4), pages 554-571, September.
    14. Jasiniak Magdalena, 2018. "Determinants of Investment Decisions on the Capital Market," Financial Internet Quarterly (formerly e-Finanse), Sciendo, vol. 14(2), pages 1-8, June.
    15. Ali Saleh Ahmed Alarussi, 2021. "Effectiveness, Efficiency and Executive Directors’ Compensation Among Listed Companies in Malaysia," SAGE Open, , vol. 11(4), pages 21582440211, October.
    16. Li, Fengyu & Liu, Mark H. & Shi, Yongdong (Eric), 2017. "Institutional ownership around stock splits," Pacific-Basin Finance Journal, Elsevier, vol. 46(PA), pages 14-40.
    17. Peress, Joel, 2010. "The tradeoff between risk sharing and information production in financial markets," Journal of Economic Theory, Elsevier, vol. 145(1), pages 124-155, January.
    18. Kristina Minnick & Kartik Raman, 2014. "Why are Stock Splits Declining?," Financial Management, Financial Management Association International, vol. 43(1), pages 29-60, March.
    19. Chia, Yee-Ee & Lim, Kian-Ping & Goh, Kim-Leng, 2020. "Liquidity and firm value in an emerging market: Nonlinearity, political connections and corporate ownership," The North American Journal of Economics and Finance, Elsevier, vol. 52(C).
    20. Sheridan Titman & Naoto Isaka, 2014. "Long-run Effects of Minimum Trading Unit Reductions on Stock Prices," International Review of Finance, International Review of Finance Ltd., vol. 14(1), pages 75-103, March.
    21. Green, T. Clifton & Hwang, Byoung-Hyoun, 2009. "Price-based return comovement," Journal of Financial Economics, Elsevier, vol. 93(1), pages 37-50, July.
    22. Patrick Dennis, 2003. "Stock Splits and Liquidity: The Case of the Nasdaq‐100 Index Tracking Stock," The Financial Review, Eastern Finance Association, vol. 38(3), pages 415-433, August.

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