what is the earnings per share? course hero

Earnings per share (EPS) is a company's net profit divided by the number of common shares it has outstanding. 1 EPS indicates how much money a company makes for each share of its stock and is a widely used metric for estimating corporate value.

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How much money has Course Hero raised in total?

In total, Course Hero has raised $107.4 m. Course Hero's latest valuation is reported to be $1.1 b. Course Hero's Subscribers was reported to be 1 m in Aug, 2020. Need Data? Craft can deliver 250+ data points of financial, operating, and human capital indicators on companies via API.

What is the valuation of Course Hero?

Course Hero's latest valuation is reported to be $1.1 b. Course Hero's Subscribers was reported to be 1 m in Aug, 2020. Need Data? Craft can deliver 250+ data points of financial, operating, and human capital indicators on companies via API.

What counts as good earnings per share (EPS)?

What counts as a “good” earnings per share (EPS) will depend on factors such as the recent performance of the company, the performance of its competitors, and the expectations of the analysts who follow the stock. Sometimes, a company might report growing EPS but the stock might decline in price if analysts were expecting an even higher number.

How are earnings per share calculated?

Earnings per share is calculated as the net income (AKA profits or earnings) divided by the available shares. A more refined calculation adjusts the numerator and denominator for shares that could be created through options, convertible debt, or warrants.

Why is EPS higher?

A higher EPS indicates greater value because investors will pay more for a company's shares if they think the company has higher profits relative to its share price. EPS can be arrived at in several forms, such as excluding extraordinary items or discontinued operations, or on a diluted basis. 1:10.

How can a company game its EPS?

For instance, a company can game its EPS by buying back stock, reducing the number of shares outstanding, and inflating the EPS number given the same level of earnings. Changes to accounting policy for reporting earnings can also change EPS.

Why is it more accurate to use a weighted average number of common shares over the reporting term?

It is more accurate to use a weighted average number of common shares over the reporting term because the number of shares can change over time. Any stock dividends or splits that occur must be reflected in the calculation of the weighted average number of shares outstanding.

What is diluted EPS?

Analysts will sometimes distinguish between “basic” and “diluted” EPS. Basic EPS consists of the company’s net income divided by its outstanding shares. It is the figure most commonly reported in the financial media, and it is also the simplest definition of EPS.

What is the importance of EPS?

An important aspect of EPS that is often ignored is the capital that is required to generate the earnings (net income) in the calculation. Two companies could generate the same EPS, but one could do so with fewer net assets; that company would be more efficient at using its capital to generate income and, all other things being equal, would be a "better" company in terms of efficiency. A metric that can be used to identify more efficient companies is the return on equity (ROE).

What is EPS adjusted for?

It is common for a company to report EPS that is adjusted for extraordinary items and potential share dilution. The higher a company's EPS, the more profitable it is considered to be.

How to calculate EPS?

To calculate a company's EPS, the balance sheet and income statement are used to find the period-end number of common shares, dividends paid on preferred stock (if any), and the net income or earnings.