UK Accounting Glossary
Calculated as earnings for ordinary shareholders divided by the number of shares which have been issued by the company.
Earnings per share is a company’s profit divided by the number of common stock shares it has outstanding. EPS shows how much money a company makes for each share of its stock. A higher EPS indicates more value because investors will pay more for a company with higher profits.
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This glossary post was last updated: 23rd December 2018.