Types Of Earnings Per Share English

Types Of Earnings Per Share

Earnings Per Share (EPS) types include Basic EPS, calculated by dividing net income by the total outstanding shares, and Diluted EPS, which considers potential shares from conversions like stock options or convertible bonds, giving a more conservative perspective on a company’s earnings relative to its shares.

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What Is Earnings Per Share?

Earnings Per Share (EPS) is a financial metric indicating a company’s profitability on a per-share basis. It’s calculated by dividing the company’s net profit by its total number of outstanding shares. It helps investors gauge a company’s profitability and compare it with other companies.

Earnings Per Share (EPS) is a key indicator of a company’s profitability. It’s calculated by dividing the net income by the total number of outstanding shares. This figure represents the amount of