Learn how to calculate the earings per share (EPS) of any stock in your portfolio - and how to use EPS to drive your trading decisions.

Why EPS is important to calculate Earnings per share is important to investors because it breaks down a company's profits on a per-share basis, which is especially useful for tracking performance ...

To calculate the current intrinsic value of a stock, find the company's average historical P/E ratio and multiply by the projected earnings per share. Intrinsic Value = P/E Ratio X Earnings Per Share ...

It is easy to calculate the formula: For example, if the stock price is $100 and the earnings per share are $7.50, then the Price/Earnings ratio is 13.33 ($100 / $7.50).

To calculate a stock's earnings yield, divide the company's annual earnings per share (EPS) by the share price. You may recognize this formula as the inverse of the popular P/E ratio.

Many conservative investors use EPS to calculate how much they think a stock is "worth" Calculating the basic EPS is simple.

To calculate a stock's value right now, we must ensure that the earnings-per-share number we are using represents the most recent four quarters of earnings. This is called the company's trailing ...

The price-to-earnings ratio, or P/E ratio, is a valuation ratio used in fundamental analysis. The ratio compares a company's market price per share to its earnings per share or EPS. To calculate a ...

Written by How to Calculate Earnings Per Share on a Balance Sheet for The Motley Fool -> For example, if a company earned $10 million in 2000 and $20 million in 2010, it may appear that ...

Earnings per share is important to investors because it breaks down a company's profits on a per-share basis, which is especially useful for tracking performance over long time periods.