The effect of stock splits announcements during and after a financial crisis.

There are plenty of studies that have documented positive abnormal results when stock splits are announced by companies. In addition, there are several theories that explain these results, like the signalling- and trading range hypothesis. In this thesis, I looked if there are still positive abnormal returns around stock splits during a negative time, like the financial crisis of 2008 and if we find similar results after that period. I analysed the cumulative average abnormal returns of 351 stock splits, with the market model and the market-adjusted model, for the periods 2007-2011 and 2012-2016. I found that the market reacts negatively to stock split announcement after the financial crisis period, but reacts positive during the financial crisis depending on the model being used.