Earning Per Share-Meaning

You're getting...

  • Meaning of EPS or Earning Per Share
  • Definition of EPS or Earning Per Share

Some Random Terms

Earning Per Share

Earning Per Share: The term called EPS or Earning Per Share generally indicates the gained earning of allotted profit for per share for a specific period. For measuring of company revenue, and assessing what is the change about company revenue with capital structure earning per share is a very important term. For a successful company,  net income is frequently increased along with its success.

By the way, it is important knowing the amount of increment of net income for an investor. For taking investing decision, an investor evaluates the business operating performance of company's management and for this process, EPS or earning per share is an important factor.

If market price per share is compared with earning per share, it is possible to get price earning ratio, by that an investor can compare one company to another.