lots of investors are loved using the EPS or earnings per share as well as PE or priced the earnings ratio to determine how well a company is doing whether they should invest or sell and so on the earnings per share simply tell us how profitable a company is and we calculate the EPS by dividing the net income or let's say profits of a company by the number of outstanding shares while the formula can be tweaked think of the most straightforward one as simply EPS equals net income divided by number of shares moving on we can also use the earnings per share to calculate the famous p/e ratio of a company and we do so by dividing the current share price by the earnings per share think of it as PE equals share price divided by EPS once again this is a simplified formula which can of course be tweaked value investors love the p/e ratio and it's generally speaking a very popular metric whether you use it to identify undervalued stocks by comparing individual p/e ratios to let's say the industry average or use PE ratios to look at the entire market and determine whether or not investors are being overly optimistic it's most definitely a tool worth having in your arsenal and the same can be said about the EPS
Dear @thauerbyi, we need your help!
The Hivebuzz proposal already got important support from the community. However, it lost its funding a few days ago and only needs a bit more support to get funded again.
May we ask you to support it so our team can continue its work?
You can do it on Peakd, ecency,
https://peakd.com/me/proposals/199
Your support will be really appreciated.
Thank you!