Earnings Per Share Calculator: EPS From Income and Shares
Work out earnings per share — the slice of a company's profit attributable to each share, and a building block of stock analysis.
Adjust the inputs and select Calculate for a full breakdown.
Compare Common Scenarios
How the numbers shift across typical situations for this calculator:
| Scenario | Earnings per share |
|---|---|
| $12M / 5M shares | $2.40 |
| $800k / 400k shares | $2.00 |
| $50M / 20M shares | $2.50 |
| $3M / 2.5M shares | $1.20 |
How This Calculator Works
Enter the company's net income for the period and its shares outstanding. The calculator divides one by the other to give earnings per share, the profit each share earned.
The Formula
Cost per Unit
Total Amount is the full cost or price, Quantity is the number of units it covers
Worked Example
A company with $12 million of net income and 5 million shares outstanding has earnings per share of $2.40. EPS lets profit be compared across companies of very different sizes.
Key Insight
EPS feeds the price-to-earnings ratio, the most common gauge of how expensive a stock is. Watch share count too: buybacks lift EPS by shrinking the denominator, even when total profit has not grown.
Frequently Asked Questions
What is earnings per share?
Earnings per share is net income divided by shares outstanding — the portion of a company's profit allocated to each share of stock.
What is the difference between basic and diluted EPS?
Basic EPS uses the current share count. Diluted EPS also counts shares that could be created from options and convertibles, so it is usually a little lower.
How does EPS relate to the P/E ratio?
The price-to-earnings ratio is the share price divided by EPS. EPS is therefore one of the two inputs behind that widely used valuation measure.
Why can EPS rise without more profit?
Share buybacks reduce the number of shares outstanding, so the same profit is divided among fewer shares — lifting EPS even when net income is flat.
Which share count should I use?
Companies typically report a weighted average of shares outstanding over the period. Use that figure for an EPS that matches official reporting.
Related Calculators
Methodology & Review
Earnings per share is net income divided by shares outstanding. The calculator uses basic EPS; diluted EPS, which counts options and convertibles, would use a larger share count.
Written by Ugo Candido · Last updated May 17, 2026.