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What Is Earnings Per Share?
Formula
EPS shows how much profit a company earns for each share of common stock outstanding.
Higher EPS generally indicates greater profitability and is a key metric for stock valuation.
Common use cases:
- Stock valuation
- Comparing company profitability
- Calculating P/E ratio
Frequently Asked Questions
Maria Gonzalez
Registered Dietitian, RD, MPH
Maria is a Registered Dietitian with a Master's in Public Health. She focuses on evidence-based nutrition assessment tools including BMI, calorie calculations, and body composition analysis.
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