Investing Dictionary
Company Health

What is EPS?

How much profit a company makes per share

Full Explanation

Earnings Per Share = total profit ÷ number of shares. It's the most important number in an earnings report.

Real-World Example

Company makes $1B profit, has 500M shares → EPS of $2.

Pro Tip

Analysts predict EPS before earnings. Beating estimates = stock usually goes up.

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