Earnings per Share is the amount that the company earns for each share of the company.
Earnings per Share = (Net Income – Preferred Dividends) / Shares Outstanding
- Accounting Tools – Earnings per share ratio – The EPS formula.
- The Motley Fool – What is Earnings per Share? & How to calculate earnings per share on a balance sheet – Two articles on EPS.
- Wikipedia – Earnings per share – Wikipedia’s explanation of EPS and how it is calculated.
- Investopedia – Earnings per share – EPS – An example of how to calculate earnings per share.