EPS

From Reuters Financial Glossary

(Redirected from Earnings per Share)

Synonym: Earnings per Share

Earnings per Share is net profits divided by the number of ordinary shares outstanding. A company which earned an attributable profit of £10 million in the previous financial year and with two million shares outstanding has an EPS of five pounds. Historical or trailing EPS are earnings per share for the last available financial year or quarter. Forecast EPS are earnings as forecast by analysts. A consensus forecast is an average or median figure derived from several individual forecasts. EPS is a key component of the Price/Earnings ratio.

See also: P/E Ratio

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