Earnings per share (EPS) is a company's net profit for a period divided by the number of its shares. It shows how much of the profit belongs to each single share.
EPS is always tied to a period — a quarter or a year — so a figure only means something together with the period it covers.
It is one of the two numbers behind the P/E ratio: price divided by EPS.
Written by NUSANTARA as a general introduction. It explains a term; it is not advice about any security.
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