The delisting of a stock from the New York Stock Exchange tends to have a neutral effect on the stock on the last day of trading. However, the stock normally has downward movement approximately six months later.

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This has a large negative effect on the security. Merjos found that 48 of the 50 firms in her study declined between the last day of trading on an exchange and the resumption of trading over-the-counter. The average decline was 17%. While the value was not risk-adjusted, it is large enough to indicate the clear significance of the event. Other studies have found similar results.

The Delisting of a Stock from the New York Stock