Trend of stock price post "X split"

General
1

Dear Folks,

I would like to know, what is the trend of price post “X split” of a quality stocks (ICICI, SBI recently happened). Does the stock price relatively goes down? If yes, by how much % ideally. So that this becomes an appropriate time to invest for a long term tenure.

Mr Nitin, would really appreciate if you can share your experience in past, as you have good amount of knowledge, been for so long…

Thanks

2

The trend usually depends on the general demand and supply situation and it is not really dependent on the corporate action (bonus, split, rights etc).

3

Well Mr Karthik, “General” is too extensive word. If you go by recent INFY bonus example, it is giving more room to fall…
I believe there is always a notion among FII’s and big ticket investors (which not at all means domestic retail participants), think we as a retail investors will jump into buying the stock same day as soon as corporate events (especially stock split/bonus issue) takes place, and these trend is keen watched by biggies investors, which led to make some profit booking selling bulk orders, leads to stock fall.