• Why would the firm (Toshiba) change in value because of this news (stock split)?
• What was the effect on the company's share price at the time of the announcement? Describe the market reaction to the news?  Explain briefly why the announcement affected the value of the stock.  Was this news expected? Was the effect on the share price at the time of the announcement immediate and complete?   Or delayed? Was there an overreaction?
• What happened to the relevant index at the time of the announcement? Please explain your conclusions about the degree of semi-strong market reaction to this news. 

https://www.theglobeandmail.com/business/technology/article-toshiba-now-plans-to-split-into-two-companies-bumps-up-shareholder/

Answer rating: 100% (QA)

A stock split is a corporate action in which a company divides its existing shares into multiple shares to increase liquidity and make them more affor... View the full answer