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earning per share

earning per share

5 5.5
The profit a company makes for each share of its stock
  • noun
  • /ˈɜrnɪŋ pər ʃɛr/
  • Specialized
translation icon : ganancia por acción
  • The company's earnings per share increased significantly this year, indicating strong profitability.
  • income and earnings per share

Examples

  • The company sees earnings per share of $5.00 to $5.10 for the fiscal year.

    Blog text (9)
  • New issuance increases the number of shares outstanding, which, for a given level of earnings, leads to lower earnings per share.

    Academic text (2017)
  • The company beat expectations regarding revenue but missed on the expectations of earnings per share.

    Blog text (31)
  • To do this, we ranked all of the 500 companies by their sales and earnings per share growth.

    Blog text (27)
  • Net income was $1.9 million, and diluted earnings per share were $0.10 for the June 30 period.

    Blog text (33)
  • Twelve trailing months' earnings per share reached a value of $8.28.

    Blog text (4)
  • For the entire 2009 fiscal year, Apple reported $9.08 in earnings per share on $42.9 billion in revenue.

    Blog text (27)
  • Aflac posted a 92% gain in earnings per share in the first half; however, revenue only rose 19%.

    Blog text (27)
  • The company expects to garner adjusted earnings per share between $3.44 and $3.49 per share in 2012.

    Blog text (3)
  • Dell reaffirmed a previous forecast calling for full-year adjusted earnings per share of at least $1.70.

    Blog text (20)

Surface Forms

Morphology

earn + per + share

The meaning is directly compositional from the constituents: 'earn(ings)' = company profit/income, 'per' = for each unit, and 'share' = a unit of ownership. Although the term is financial, the rate/ratio pattern 'X per Y' is cross-linguistically common, so a B1 learner who knows the parts can infer the MWE refers to profit allocated to each share.

Etymology

The term earning per share is easiest to imagine as a company's profit split like a cake among all its shares, where earning is the profit and each share gets a slice. So, earning per share shows 'how much profit each share gets', which helps people see how profitable a company is.