One of the most important figures for a shareholder in financial statements is Earnings Per Share (EPS). Earnings per share is arrived at by dividing total profits (earnings) earned during a fiscal with the total number of equity shares outstanding.
Earnings per share is a measure of the profitability of a company. It is a measure that an investor looks at before investing.
If a company is posting continuous EPS growth year after year, it could be a sign that the company can sustain profits over time.
However, the high EPS of stock alone does not make a stock good for investing, and one of the world's richest men agrees with this.
What shall be more interesting for investors is a combination of high EPS and low price-to-earnings ratio (PE ratio).
Aug 6, 2024
Steps to take before a market crash.
Jul 2, 2024
The story of Varun Beverages has a warning for investors.
Jun 19, 2024
The stock's rerating from 30x to 100x earnings multiple is at risk.
May 25, 2024
The future for Indian crane stocks keeps getting better. Here are the two frontrunners...
Jan 16, 2024
This midcap IT stock is capitalising on the burgeoning growth of AI sector. Several things suggest the stock has more headroom to grow.
Dec 7, 2023
Shares of the company have gained over 60% in 2023 so far, recently hitting an all-time high. What does 2024 have in store?
Oct 18, 2022
For PSU Bank index, the multiple breakouts and reversal signals bullish momentum.
Sep 9, 2022
Rahul Shah on what he thinks of Tata Elxsi at these price levels.
Jul 28, 2022
Why advertising budgets are the key to finding the best FMCG stocks.
Feb 24, 2022
Here are the definitive steps to select the best ELSS for your tax-saving portfolio.
Jul 25, 2024
The stock's rerating from 30x to 100x earnings multiple is at risk.
Jun 24, 2024
A key reason for this outperformance is strong EPS growth compared to the average typical midcap company.
May 29, 2024
Buyback fever sweeps through Dalal Street. Should you participate?
Apr 3, 2024
This PSU company keeps breaking several records. It recently reported the highest-ever production and sales of aluminium and bauxite.
Jan 3, 2024
These 5 strategically positioned smallcap companies are primed for an upmove in the election year.
Feb 8, 2023
The US Fed has officially said a pause in rate hikes is out of the question. India's central bank is following their footsteps.
Sep 11, 2022
After seeing the rapid growth of the Indian drone industry, the government is planning an additional outlay for the drone PLI scheme.
Aug 24, 2022
Can this FMCG stock get back its lost sparkle.
Jul 20, 2022
The Indian defence sector is experiencing accelerated growth. With government supporting homegrown industries, the future of defence stocks looks promising.
Oct 14, 2021
Follow these steps to teach your children all about the world of investing.