EPS

Accounting Dictionary

EPS

EPS means earnings per share.

EPS is a measure of business profitability computed by dividing a company’s earnings by the number of shares of common stock issued by the company. Let’s say a business has issued 1,000 shares of common stock. This year they earned $5,000. $5,000 in earnings divided by 1000 shares yields EPS of $5 per share.

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