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An attempt has been made in this paper to examine the impact of dividend announcement of share price among the selected companies in IT industry in India. The information technology industry has truly transformed the way the world looks at India. Rapidly capturing global imagination, the success of its IT industry has placed India at the forefront of the emerging global knowledge economy. This study finds that majority of companies in IT industry shows that share price volatility is high both in post- and pre-dividend announcement. The company wise analysis of IT industry depicts that out of 14 companies in IT Industry only 4 companies have shown positive impact on the share price and remaining 10 companies have shown negative impact on the share price towards post-dividend announcements.

Impact of dividend announcements on share price behaviour among the selected companies in cement industry in india