What does eps mean in stocks
Earnings per share manipulation is one of the oldest professions. That said it is essential for investors to be cautious while evaluating a company in terms of earnings per share. A high-quality EPS acts as an accurate representation of what a company actually earned. A low-quality EPS, on the other hand, does not portray a company's actual P/E is the price of the stock to its earnings ratio i.e. if a company have like 100 stocks and it earns $50 then the earnings by share (EPS) will be 50/100 = $0.5 if the stock price is $1 then P/E will be 1/.5 = 2 which is a very good rate because