Where to find eps

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Dividend Yield Definition: Dividend yield is the financial ratio that measures the quantum of cash dividends paid out to shareholders relative to the market value per share.

It is computed by dividing the dividend per share by the market price per share and multiplying the result by A company with a high dividend yield pays a substantial share of its profits in the form of dividends.

Dividend yield of a company is always compared with the average of the industry to which the company belongs. Description: Companies distribute a portion of their profits as dividends, while retaining the remaining portion to reinvest in the business. Dividends are paid out to the shareholders of a company. Dividend yield measures the quantum of earnings by way of total dividends that investors make by investing in that company. It is normally expressed as a percentage.

The company's balance sheet indicates Netflix has not issued any preferred stock, so we don't need to subtract out preferred dividends. Non-cash expenses such as depreciation and amortization are subtracted from net income, and the lumpy nature of capital expenditures can cause a company's net income to vary greatly across reporting periods. Businesses can have much different non-operating expenses, such as tax and interest payments, which affect net income. A company's net income doesn't accurately reflect its cash flow or the health of its business.

Additionally, companies can and do manipulate their EPS numbers by changing the number of shares outstanding. Share issuances, splits, and stock buybacks all change the denominator by which net income less preferred dividends is divided. EPS numbers are most useful when evaluated along with other metrics. Financial instruments like convertible debt and employee stock options, which are often used to raise capital and motivate employees, must be added to the outstanding share count to calculate a company's diluted EPS.

Let's calculate the diluted EPS for Netflix. The company has granted 13,, stock options to employees, which raises the total outstanding share count to ,, Valuation models use fully diluted EPS because it is more conservative. By dividing the share price by the earnings per share, you can determine if the company is expensive or fairly-valued compared to similar companies in its industry.

EPS has three types, based on where the numbers come from:. Trailing EPS is based on numbers from the previous year. This calculation uses earnings from the four previous quarters to calculate earnings per share. Most stock market values use trailing EPS because it uses actual figures.

Current EPS is based on numbers from the current year, which include projections. This calculation uses figures from the four quarters of the current fiscal year.

Some quarters already passed, providing actual figures, while some quarters remain projections. Forward EPS is based on the future, projected numbers. Analysts or the company itself often make forward projections for investors, who want to know about the earning potential of the company. Many investors will compare all three types of EPS to make smarter investment decisions. Find jobs. Company reviews. Find salaries.

Upload your resume. Sign in. Career Development. What are earnings per share? To make the example easy, let's say that Bank of America bought 1 billion shares back in through its share repurchase program. Its EPS would have been:. There are actually three basic types of EPS numbers, based on where the data comes from. It uses the previous four quarters of earnings in its calculation, and has the benefit of using actual numbers instead of projections.

Although the figure is accurate, the trailing EPS is "old news" and many investors will also look at current and forward EPS figures. This measurement typically includes the four quarters of the current fiscal year, some of which may have already elapsed, and some of which are yet to come. As a result, some of the data will be based on actual figures and some will be based on projections. Forward EPS is based on future numbers.

This measurement includes projections for some period of time in the future usually the coming four quarters. Forward EPS estimates can be made by analysts , or by the company itself. While this number is based on estimates and not on actual data, investors are often very interested in forward EPS because, in general, investing is predicated on estimates of a company's future earning potential. Investors often compare these different EPS calculations.

On the other hand, if the actual EPS beats its estimates, the stock may experience a rally. EPS becomes especially meaningful when investors look at both historical and future EPS figures for the same company, or when they compare EPS for companies within the same industry.

Bank of America, for example, is in the financial services sector. Bank of America. Accessed Aug. Financial Ratios. Tools for Fundamental Analysis. Financial Analysis.