When trading is done for the day on a stock exchange, all stocks are priced at close. The price that is quoted at the end of the trading day is the price of the last lot of stock that was traded for the day. This is referred to as the stock's 澳洲幸运5开奖号码历史查询:closing price.

That closing price is the reference point used by investors to compare a stock's performance over a period of time.

It's worth noting that closing prices do not reflect 澳洲幸运5开奖号码历史查询:after-hours prices or any corporate actions that mig🥂ht alter the stock's price from time to time, although they act as useful﷽ markers for investors to assess changes in value over time.

Good or bad news related to a company, its industry, or the economy overall can affect the price of any stock during the day. Less often but equally important, any 澳洲幸运5开奖号码历史查询:distribution that is made by the company to shareholders will also affec🅘t the stock price.

These distributions may include cash dividends, stock dividends, or 澳洲幸运5开奖号码历史查询:stock splits.

Calculating Adjusted Closing Price

The 澳洲幸运5开奖号码历史查询:adjusted closing price is often used when examining 澳洲幸运5开奖号码历史查询:historical returns or performing a detailed analysis oꦚf historical retur♈ns.

When distributions are made, the adjusted closing price calculations are simple. For 澳洲幸运5开奖号码历史查询:cash dividends, the value of the ꧑di🤪vidend is deducted from the last closing sale price of the stock.

For example, let's assume that the closing price for one share of XYZ Corp. is $20 on Thursday. After the close on Thursday, XYZ Corp. announces a dividend distribution of $1.50 per share. The adjusted closing price for the stock would then be $18.50 ($20-$1.50).

If XYZ Corp. announces a 2:1 stock dividend instead of a cash dividend, the adjusted closing price calculation will change. A 2:1 stock dividend means that for every share an investor owns, he or she will receive two more shares. In this case, the adjusted closing price ca🎃lculation will be $20*(1 / (2+1)). This will give you a price of $6.67, rounded to the nearest penny.

If XYZ Corp. announces a 2:1 stock split, investors will receive an ext🐎ra share for every share they already own. This time the c🅰alculation will be $20*(1 / (1x2)), indicating an adjusted closing price of $10.

Other Actions

Cash or stock dividends and stock splits are the most common corporate actions that can 澳洲幸运5开奖号码历史查询:affect a stock's closing price. Other corporate actions, such as an announcement of a 澳洲幸运5开奖号码历史查询:rights offering, make determining the adjusted clo𝕴sing price more ♋complicated. Company news can affect investor sentiment and move the stock's price, as well.

Historical price services provided by financial sites suꦚch as Investopedia and Yahoo! Finance can solve the problem by calculating adjusted closing prices for investors.