Earnings Per Share Law & Legal Definition
Earnings per share is a measure of a company's profitability which is calculated by dividing the total earnings by the number of shares outstanding. Companies often use a weighted average of shares outstanding over the reporting term. EPS can be calculated for the previous year ("trailing EPS"), for the current year ("current EPS"), or for the coming year ("forward EPS"). The forward EPS is a projection, rather than an actual figure of earnings.
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