What Is EPS In Stocks? | Earnings Per Share Explained

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Rynance

Rynance

Күн бұрын

Пікірлер: 165
@fingerstylefan
@fingerstylefan 2 жыл бұрын
I learned and understand more from this video than the last 4-5 videos I watched combined. Thank you!
@vincentbeaubien9358
@vincentbeaubien9358 2 жыл бұрын
same!
@josephchoi6695
@josephchoi6695 4 ай бұрын
looks simple but hard to understand detail... @!!!!!!!!
@ErinandEmmaFinance
@ErinandEmmaFinance 3 жыл бұрын
we think that these whiteboard animations are super cool and keep the audience attached
@Rynance
@Rynance 3 жыл бұрын
Great! Thanks for stopping by!
@franquely748
@franquely748 23 сағат бұрын
Thank you for making this much easier to understand. Many of these podcasters try to make things a lot more complicated than they need to be. I don't want a degree, I just needed a quick answer! LOL From now on, I will find you when I have a question. I can't spend 20 minutes looking for an answer. Plus, I love the way you add an extra bit of info. to your explanations. Like....why a Company does buybacks. Very Impressive. Take Care....
@chloejarvis1
@chloejarvis1 Жыл бұрын
My good sir, thank you so ver ver much. I was so bloody confused with what the exact importance of EPS was, and this really helped. Thanks my guy!
@UsefulDonkey99
@UsefulDonkey99 10 ай бұрын
Thank you for this video!
@alexanderkarapetyan2125
@alexanderkarapetyan2125 3 ай бұрын
You are such a great teacher Ryan. You have explained everything in such a playful and easy manner that very few people can. Thanks man!
@GordanZ
@GordanZ 6 ай бұрын
I returned back and back to your videos when I am not sure about some stock valuations :) You are doing a great job, keep on doing. Btw EPS is one of the most important metrics I pay attention to when buying/selling a stock. Thanks !
@FernandoWillyAlvarado
@FernandoWillyAlvarado Жыл бұрын
I understand it now thanks for explaining it thoroughly.
@mdaje
@mdaje 2 ай бұрын
been investing for years, love the explanation. great walk through!!!
@plaz5451
@plaz5451 10 ай бұрын
The first part of the statement is generally true: Earnings Per Share (EPS) is indeed a metric used to measure a company's profitability on a per-share basis. A higher EPS can indicate stronger profitability, which may be viewed positively by investors because it suggests that the company is generating more earnings for each share of its stock. However, the second part of the statement is not entirely accurate. The number of shares outstanding does not directly impact EPS in the way suggested. EPS is calculated by dividing a company's net income by its total number of outstanding shares. Therefore, the number of shares outstanding does not inherently lower EPS. If a company issues more shares (increasing the number of shares outstanding), it dilutes the ownership interest of existing shareholders. However, this doesn't necessarily mean that EPS will decrease. It depends on whether the newly issued shares contribute positively or negatively to the company's earnings. If the company uses the proceeds from issuing new shares to generate additional income, it may not necessarily reduce EPS. In summary, while a higher EPS can be viewed favorably by investors, the impact of changes in the number of shares outstanding on EPS is more nuanced and depends on various factors, including the reason for the change in shares outstanding and its impact on the company's overall profitability.
@gymmotivated7036
@gymmotivated7036 2 жыл бұрын
Most clear and well-explained vidéo I have found.
@brothaj9959
@brothaj9959 2 жыл бұрын
Thank you for making it clear & simple to understand, Subbed!
@botsneako
@botsneako 2 жыл бұрын
does eps mean how much your earn from one share ?
@ZhuojunJiang-uh6vr
@ZhuojunJiang-uh6vr Жыл бұрын
Thank you! Easy and clear
@mahimareddy9220
@mahimareddy9220 Жыл бұрын
This is an amazing video. I've been trying to understand EPS for a while now and this video cleared all my doubts.
@bikuful
@bikuful 6 ай бұрын
Pls explain all matrices..one should consider before buying a share
@salmansaeed9278
@salmansaeed9278 2 жыл бұрын
Very nicely explained. Thank you.
@ronaldhoward4215
@ronaldhoward4215 2 жыл бұрын
I watched a hundred video and still did not understand. This video was so understandable and so simple.❤❤❤❤❤ thank you
@ChoogyNet
@ChoogyNet 3 жыл бұрын
Great tutorial. You will grow fast. All the best
@Rynance
@Rynance 3 жыл бұрын
Really appreciate the support! Thanks!
@MCamun
@MCamun Ай бұрын
Did you understand the video? 3:40 "giving rights for more profit". BUT how is that of interest for me? The simple stock prize is what gives me money, no?
@rookieinvestor6377
@rookieinvestor6377 3 жыл бұрын
That was a great video. Well explained with those 2 examples. Great video, looking fwd for more videos
@Rynance
@Rynance 3 жыл бұрын
Much appreciated!
@Hazel66781
@Hazel66781 3 ай бұрын
Easy to understand. Thank you!
@brickinvesting
@brickinvesting 3 жыл бұрын
Outstanding video! Liked!
@Rynance
@Rynance 3 жыл бұрын
Happy you enjoyed :)
@la_uruguacha
@la_uruguacha 2 жыл бұрын
I love the video simple and easy to understand.....Thanks a lot bro!!!🥰🥰🙏🙏🙏
@michellizollar9927
@michellizollar9927 Жыл бұрын
But even though the EPS for Bill's shop is higher, Cameron's carpet offers also Dividends for the investors. Would still Bill's shop a better "options"?
@HAHA-lh7fu
@HAHA-lh7fu 17 күн бұрын
id say it depends what the investor is after, some people invest for dividends and some believe the company is discounted and later sell at a premium level for profit taking
@wookie-b3f
@wookie-b3f 5 ай бұрын
Thank you for the clear explanation
@ganapatihegde1024
@ganapatihegde1024 2 жыл бұрын
Great stock vlog! Very easy to understand.
@marcia178
@marcia178 2 жыл бұрын
Great job! Your videos are the first succesfull step towards investments.
@JamesH-s3l
@JamesH-s3l 2 ай бұрын
If a stock splits does that mean the company is issuing more shares?
@ganapatihegde1024
@ganapatihegde1024 2 жыл бұрын
I am a new subscriber to your channel. Greetings from Plano, Texas, United States. What are the other general parameters to buy a stock? Thanks!
@jesushernandez-eo8fq
@jesushernandez-eo8fq 10 ай бұрын
How do fundamentals play a role in the p/s? What about the current market which seems to be unfavorable for stocks? What about speculation?
@MoneyOnlineSimple
@MoneyOnlineSimple 3 жыл бұрын
Another good explanation video my friend. I'm going to have to keep watching your vids and learn the investing basics. :)
@Rynance
@Rynance 3 жыл бұрын
I appreciate the kind words :)
@MoneyOnlineSimple
@MoneyOnlineSimple 3 жыл бұрын
@@Rynance You are very welcome my friend. You are doing really well so far! :)
@danielmcpherson9062
@danielmcpherson9062 2 жыл бұрын
Amazing video! Quick question, when you say "outstanding shares", what do you mean? If a company "gives out" 100 shares to the stock market and 50 of those shares are bought, would the outstanding shares be 100 or 50?
@TWAJW1234567890
@TWAJW1234567890 Жыл бұрын
A company's outstanding shares are the total number of shares issued and actively held by stockholders-both individual investors and corporate insiders.
@petersdestiny3058
@petersdestiny3058 Жыл бұрын
thanks for explaining better. Do you have course on this?
@Rynance
@Rynance 3 жыл бұрын
Thanks for watching! Have any questions? Drop a comment and I'll get back to you ASAP!
@neilgary3471
@neilgary3471 Жыл бұрын
Good work man!
@RippinBiscuits
@RippinBiscuits 3 жыл бұрын
I'll be supporting you! :)
@Rynance
@Rynance 3 жыл бұрын
I appreciate the support!
@MaryPatricia-wr3wj
@MaryPatricia-wr3wj Жыл бұрын
Well that would be impossible to do considering I'm in my late 50s and I'm more interested in investments that could set me up for retirement in my 60s, my goal is at least $2million.
@RichardWilliam-i4z
@RichardWilliam-i4z Жыл бұрын
As you plan your retirement, be sure to talk with a financial advisor who can help you make the most of your retirement investing scheme.
@MaryPatricia-wr3wj
@MaryPatricia-wr3wj Жыл бұрын
@@RichardWilliam-i4z Very true, If you're looking for help building a retirement nest egg, you most likely want a certified financial planner with expertise in retirement planning. With the aid of a coach, I grew my reserve from $160k to almost $600k during this Red season.
@RichardWilliam-i4z
@RichardWilliam-i4z Жыл бұрын
@@MaryPatricia-wr3wj How can one find a verifiable financial Planner, I buy the idea of employing the services of a Financial Advisor because finding that balance between saving and living requires counsel.
@MaryPatricia-wr3wj
@MaryPatricia-wr3wj Жыл бұрын
@@RichardWilliam-i4z renowned for her proficiency and expertise in the financial market, *KRISTIN GAIL CUNNINGHAM* my financial advisor, holds a broad understanding of portfolio diversification and is recognized as an authority in this domain.
@RichardWilliam-i4z
@RichardWilliam-i4z Жыл бұрын
@@MaryPatricia-wr3wj Thank you, I just checked her out and I have sent her an email. I hope she gets back to me soon.
@rafesinvestments
@rafesinvestments 9 ай бұрын
very clear. Thank you.
@noelmsindo4980
@noelmsindo4980 3 жыл бұрын
Thank you you make it easy to understand
@hubertharris6874
@hubertharris6874 2 жыл бұрын
Awsome Explanation. keep going
@fdadrtrttewrt
@fdadrtrttewrt 3 жыл бұрын
Thank you for the video but i am confused why dividends are subtracted from net income. Is it because the dividends are paid out for preferred stock and not common stock?
@Rynance
@Rynance 3 жыл бұрын
Dividends are subtracted from net income because it is basically an expense the corporation pays from itself, out to the shareholders. Dividends take away from the company's total earnings because when dividends are paid to investors, it is money that is withdrawn from the company and does not count towards their net earnings. Side note, in most cases (but not all), dividends are paid to both common and preferred stock
@winmonaye
@winmonaye 2 жыл бұрын
@@Rynance then it’s not going to be apple to apple if one company pay more dividends?? People would prefer stocks that return the dividend and has a higher EPS… Also, since it’s “per share”, even it has higher EPS, if the per share price is high, is it preferable to have lower share price but higher EPS?
@jarrylwirth672
@jarrylwirth672 10 ай бұрын
Rynance, in your example you say that $1,000 invested in Bill’s gives you “rights to more profits” than Cameron’s, because Bill’s EPS is higher. Is this correct? Surely it depends on the price you paid for the shares. It’s “earnings per share” not “earnings per dollar invested”. So if $1,000 buys me 10 shares of Bill’s but 100 shares of Cameron’s then the former investment gives me rights to only $133.30 of profit but the latter gives me rights to $800.00 of profit - clearly better. Correct?
@thesufferingengineer6003
@thesufferingengineer6003 4 ай бұрын
I was also thinking this, but I don't know anything about the market so can someone comfirm?
@yonasisrael7019
@yonasisrael7019 2 жыл бұрын
About the dividends we are subtracting from net income, is it preferred dividends or total?
@nylandsmann
@nylandsmann Жыл бұрын
preferred, I wish you already found it 😬 watch?v=XnKDFQxoA3I&t=365s
@jakobafeworiki1006
@jakobafeworiki1006 Жыл бұрын
u are amzing that explaning brother thanks so much understood every point u made
@royblckbrn
@royblckbrn 9 ай бұрын
@Rynance Is Bill's bike shop still good investment? Because in the example no dividend payout is shown. Whereas the carpet business does pay a dividend. Isn't that where the real advantage is?
@tomisss3
@tomisss3 Жыл бұрын
This video is true only if stocks of both companies has same price
@investingwithu
@investingwithu 3 жыл бұрын
Great video happy to support! Subbed!
@Rynance
@Rynance 3 жыл бұрын
Thanks!
@EzekielOluwafemiBabajide
@EzekielOluwafemiBabajide 19 күн бұрын
How do we know the company's shares outstanding please
@mikkyalmazol
@mikkyalmazol 6 ай бұрын
hi sorry for the dumb question, why would a company pays dividends if it affects their EPS?.. What does dividends do?..
@atomic_vessel
@atomic_vessel 3 ай бұрын
dividends is like a payment the company makes to the people who buy the shares as like a thank you was holding on the shares. It also says that the company is in a good financial position, and if the company gives a dividend people like buying those stocks more which can also increase the stocks price, and the companies value. I think thats it but don't quote me on it
@FRANKWHITE1996
@FRANKWHITE1996 2 жыл бұрын
3:39 wait. But what if BIKE share costs 1kusd which means I get 13,3usd for 1kusd invested, vs and if CARPET share cost 100usd which for 1kusd investment gives me 10shares and each gives 8usd eps? Then CARPET investment is better because 10x8=80 vs 1x13,3=13,3. How then eps let’s easy to compare two different companies? I don’t get it.
@Gobrowns123
@Gobrowns123 10 ай бұрын
Do you get annual dividend payout by taking dividend % x market cap?
@chrisfr3sh
@chrisfr3sh 3 жыл бұрын
where do i go to find the "shares outstanding" and also when you say "profit" am i looking at the market cap?
@Rynance
@Rynance 3 жыл бұрын
You can find shares outstanding on Yahoo Finance usually. If not there, you will be able to find the number of shares outstanding on the balance sheet in their most recent quarterly report. For profit, no, it is not market cap. Profit can be found in the income statement in their quarterly reports as well, typically referred to as 'net income'.
@chrisfr3sh
@chrisfr3sh 3 жыл бұрын
@@Rynance yeah im having trouble where to find “preferred dividends” on yahoo financial balance sheet. could it be named something else?
@Rynance
@Rynance 3 жыл бұрын
@@chrisfr3sh that will be a little more difficult to find. To find the total paid in preferred dividends, you’ll have to go to the company’s website, go to investor relations, and find their most recent annual or quarterly report. In there, find the ‘statement of cash flows’ and there you can find the total paid in preferred dividends. I hope that makes sense!
@keysame2309
@keysame2309 10 ай бұрын
Is higher eps more income for shareholders? Is level of eps changing share price? Eg higher eps more expensive for shares
@Abutienote
@Abutienote 2 жыл бұрын
Is the EPS paid to a individual or it's just an equity to the company's profit
@MrMakemusicmike
@MrMakemusicmike 10 күн бұрын
Love the channel name 😊 New sub here!
@RippinBiscuits
@RippinBiscuits 3 жыл бұрын
Great editing skills. I can learn a thing or two for my edits. I just started around a month ago! Cheers!
@Rynance
@Rynance 3 жыл бұрын
Thanks!
@mahimareddy9220
@mahimareddy9220 Жыл бұрын
Is there any video on P/E Ratio?
@ryminvesting6554
@ryminvesting6554 3 жыл бұрын
Here is sub No 13. Good educational video.
@Rynance
@Rynance 3 жыл бұрын
Awesome! Thanks for stopping by!
@nooobest
@nooobest 3 жыл бұрын
Great video
@Rynance
@Rynance 3 жыл бұрын
Thank you!
@kurdepyua8847
@kurdepyua8847 6 ай бұрын
What does he mean by outstanding ?
@contrarianthinker
@contrarianthinker 2 ай бұрын
Shares outstanding
@misaeljulian1985
@misaeljulian1985 9 ай бұрын
GameStop has an EPS of 598.64 😩 and the company has $1 billion cash on hand 😩😩
@yatrmlk6884
@yatrmlk6884 4 ай бұрын
what is the share price of bills bike shop vs camerons carpet ? with 1000 dollars how many shares you can buy? if Bills bike shop's share price is 1000 dollars you can only buy one share, and if cameron's carpet share price is 1 dollar you can buy 1000 shares, so EPS is not enough to see how much you can get for your money
@jawadarif5676
@jawadarif5676 Жыл бұрын
Does esp - mean the company is loseing money
@lammy0223
@lammy0223 Жыл бұрын
I’m having a hard time searching a companies earning/profits to input into the equation 1:26
@clarityofthought
@clarityofthought 5 ай бұрын
The company I'm being hired to increase sales has a EPS of -0.0400 what does this mean?
@haseebuddinazamtoor6161
@haseebuddinazamtoor6161 4 ай бұрын
extraordinary
@jannesetsebeth4916
@jannesetsebeth4916 Жыл бұрын
Great communication skills, you should think about narrating books too 👍
@willjackson6202
@willjackson6202 Жыл бұрын
THANK YOUUUUUUU
@kevin11433able
@kevin11433able 2 жыл бұрын
Good video
@Benje
@Benje 3 жыл бұрын
Great vid bro, some really key info people that a lot of people who invest don't know about, people will deffo find this valuable!
@Rynance
@Rynance 3 жыл бұрын
Thanks for stopping by!
@loveyouself5389
@loveyouself5389 5 ай бұрын
Awesome
@botsneako
@botsneako 2 жыл бұрын
does eps mean how much your earn from one share ?
@timothycardinal5934
@timothycardinal5934 2 жыл бұрын
Great job :-)
@smokie4ever
@smokie4ever 6 ай бұрын
God bless you
@gabakbusiness
@gabakbusiness 9 ай бұрын
and if the EPS is negative what does it mean?
@francisokagbue6519
@francisokagbue6519 10 күн бұрын
It means the company is not profitable and they are spending more money than they earn, which is a very bad sign.
@MaikeAckermann-o8c
@MaikeAckermann-o8c 6 ай бұрын
Hi all , I am a beginner and found that very difficult I want to learn from you.
@FaulknerRachel
@FaulknerRachel 3 ай бұрын
116 Germaine Burg
@EdieGill-b8s
@EdieGill-b8s 2 ай бұрын
Metz Forks
@RyanDinz
@RyanDinz 3 жыл бұрын
Great explanation! Keep up the hustle, subs wil come around the more you post. Here's one more for Team Ry
@Rynance
@Rynance 3 жыл бұрын
Thanks for dropping by! I appreciate the support!
@OCaseyDaniel-o6d
@OCaseyDaniel-o6d 3 ай бұрын
Miller Underpass
@stoicaalex90
@stoicaalex90 3 жыл бұрын
The bigger eps the better, correct?
@Rynance
@Rynance 3 жыл бұрын
Yep!
@LuveniaDemetriou-d2y
@LuveniaDemetriou-d2y 3 ай бұрын
Cartwright Overpass
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