20 years: Chartered accountant & educator
The earnings per share or EPS is a measure of the company’s financial performance during the period. Saket further explains the Price to Earnings ratio, and how both of them are calculated.
The earnings per share or EPS is a measure of the company’s financial performance during the period. Saket further explains the Price to Earnings ratio, and how both of them are calculated.
4 mins 57 secs
The earnings per share or EPS is a measure of the company’s financial performance during the period. It shows how much the investors have earned per ordinary share. There are two variations of EPS, basic and diluted.
Key learning objectives:
Understand how the basic EPS is calculated
Understand how the diluted EPS is calculated
Outline the importance of Price to Earnings (P/E) ratio
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