EPS Excluding Extraordinary Items Earnings per share can be distorted, both intentionally and unintentionally, by several factors. Analysts use variations of the basic EPS formula to avoid the ...
Earnings per share is the quotient of a company's net income divided by the number of shares of stock it has outstanding. In other words, EPS is a company's profit expressed on a per-share basis.
It shows what the market is willing to pay for a stock based on its past or future earnings. The P/E ratio is calculated by dividing the market value price per share by the company’s earnings ...