EPS (Earnings Per Share) Calculator
Calculate basic and diluted earnings per share from net income and shares.
By Konstantin Iakovlev · Updated April 2026 · Source: SEC
Basic EPS
$5.00
EPS Calculation
| Earnings for Common | $500,000,000.00 |
| Shares Outstanding | 100,000,000 |
| Basic EPS | $5.00 |
Use the EPS (Earnings Per Share) Calculator above to calculate your results. Enter your values and see instant results — all calculations run in your browser.
Disclaimer: This calculator is for informational purposes only and does not constitute tax, financial, or legal advice. Results are estimates based on the information you provide and current rates. Always consult a qualified tax professional or financial advisor for advice specific to your situation.
How It Works
Earnings per share strips a company's profit down to what it earned for each share of common stock, and this tool reports both the basic and diluted versions of that figure. Because EPS sits at the center of how investors gauge profitability and how analysts frame valuations heading into 2026, having both numbers side by side makes comparing opportunities far easier.
Basic EPS divides net income available to common shareholders by the weighted average number of common shares outstanding during the period. Diluted EPS goes a step further by assuming that dilutive securities, such as stock options and convertible bonds, are converted into shares, which enlarges the denominator and lowers the result. That wider denominator is exactly why diluted EPS gives the more cautious read on per-share earnings.
Treating basic and diluted EPS as interchangeable hides real risk, since the gap between them shows how much existing holders could be diluted later. One detail trips up many calculations: the share figure should be the weighted average across the period, not the count sitting on the books at year-end, or the earnings will be measured against the wrong base.
Example: Tech Innovations Inc. (2026 Fiscal Year)
- 1 Input: For Tech Innovations Inc. in 2026, assume Net Income = $150,000,000, Weighted Average Common Shares Outstanding = 50,000,000, and Potential Dilutive Shares from options/convertible bonds = 5,000,000.
- 2 Calculate: Basic EPS = $150,000,000 / 50,000,000 = $3.00. Diluted EPS = $150,000,000 / (50,000,000 + 5,000,000) = $150,000,000 / 55,000,000 = $2.73.
- 3 Result: Tech Innovations Inc.'s Basic EPS for 2026 is $3.00, and its Diluted EPS is $2.73.
- 4 Context: This indicates that while the company earned $3.00 per share based on currently outstanding shares, its earnings would be slightly lower at $2.73 per share if all potential dilutive securities were exercised. This provides a more conservative and complete picture of the company's per-share profitability.
Source: SEC · Last updated: April 2026
Frequently Asked Questions
What is a good earnings per share (EPS)?
How is EPS calculated?
What is the difference between basic and diluted EPS?
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