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This query is : Resolved
01 June 2014
Plz Justify...
Does d Announcement of Dividend Drops Share prize??
Nikhil Kaushik
(Expert)
01 June 2014
generally no. it results in increase in share price. however, if the dividend declared is less than the expectations of the investors, price can fall too.
Guest
Guest
(Expert)
02 June 2014
Nikhil Sir, Can i ask something here...
The day which is looked for dividend distribution, us din share prices down aati hai na...
The day which is looked for dividend distribution, us din share prices down aati hai na...
Nikhil Kaushik
(Expert)
02 June 2014
on ex-dividend date because the people who buy after that date dont receive the dividend. So the marginal utility of price increase becomes negative and prices fall.
Guest
Guest
(Expert)
02 June 2014
hmmm...thanks... thats what i wanted to know because i had seen that on ex-dividend date share prices comes down...
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