Yahoo's adjusted close prices

Discussion in 'Automated Trading' started by chvid, Jul 6, 2007.

  1. chvid

    chvid

    I am looking Volvo's stock prices around the dividend on the 5th of April:

    http://finance.yahoo.com/q/hp?s=VOLVB.ST

    The close price moves:

    579 -> 581 + 25

    Where 25 is the dividend.

    This corresponds to an increase of 4.6%.

    However the adjusted close price moves:

    94.40 -> 116.20

    Corresponding to an increase of 23.1%.

    Can anyone explain this?

    Are the adjusted close prices from Yahoo unreliable or what else is wrong?