The purpose of this research is to find abnormal stock returns before and after the company announced the distribution of cash dividends and to determine the information content of the announcement of cash dividends by a company. This research was conducted on companies including LQ-45 index which made the announcement of cash dividend for the year 2001-2003. ILQ-45 from the company that made the announcement of cash dividends in the Jakarta Stock Exchange for the years 2001 to 2003 as many as 88 data obtained cash dividend announcement. From these data that represent a sample of the data can be as many as 70 cash dividend announcement.
Date : 24 November