profitability term

Earnings Per Share

Net income allocated to each common share outstanding during a reporting period.

Category

profitability

Applies to

Companies, Indices

Related sectors

6

Linked companies

10

Why it matters

Investor context

EPS is a foundational profit measure used in valuation, guidance tracking, and earnings-surprise analysis.

Formula

Calculation pattern

(net income − preferred dividends) ÷ weighted average shares outstanding

Sector context

Sectors where this term is common

Issuer examples

Companies using this lens

Alphabet Inc.

Companies

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A global internet platform company spanning search, advertising, cloud, YouTube, and frontier bets, with strong operating leverage across digital ecosystems.

Apple Inc.

Companies

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A global consumer-technology company spanning hardware, software, services, and wearables, with one of the strongest cash-flow profiles in public markets.

AstraZeneca PLC

Companies

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A global biopharmaceutical company focused on oncology, cardiovascular, renal, respiratory, immunology, and rare disease therapies.

Infosys Limited

Companies

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A global IT services and consulting company with meaningful exposure to enterprise modernization, outsourcing, and digital transformation spending.

JPMorgan Chase & Co.

Companies

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A globally systemically important bank with leading franchises in consumer banking, investment banking, markets, and asset and wealth management.

Microsoft Corporation

Companies

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A diversified software and cloud platform leader with durable enterprise franchises, large recurring revenue streams, and significant AI infrastructure leverage.

NVIDIA Corporation

Companies

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A leading accelerated-computing and semiconductor platform company benefiting from data-center AI demand and high-margin GPU ecosystems.

Sanofi

Companies

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A global pharmaceutical company with scale in specialty care, vaccines, and general medicines across mature and emerging markets.

Sony Group Corporation

Companies

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A diversified entertainment, gaming, music, image-sensor, and electronics company with multiple premium brand ecosystems.

Toyota Motor Corporation

Companies

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A global automotive leader with scale advantages in manufacturing, hybrids, and balance-sheet resilience across industry cycles.

Market context

Markets where this concept shows up

Benchmark context

Indices where the concept matters