What does the Earnings Per Share (EPS) measure? Option: Stock market performance, Dividend payout ratio, Company's total earnings, Profitability on a per-share basis

<< Back

Hi

Show Ans

i

What does the Earnings Per Share (EPS) measure?

Stock market performance

Dividend payout ratio

Company's total earnings

Profitability on a per-share basis

<< Back

Hi

Show Ans

i

What does Earnings Per Share (EPS) represent?

The company's profit per share of common stock

The company's total revenue divided by the number of outstanding shares

The company's net income divided by its total assets

The company's profit per share of preferred stock

<< Back

Hi

Show Ans

i

Why is 'Earnings Per Share (EPS)' considered a significant metric for evaluating a company's performance?

"It indicates the monetary value of earnings per outstanding share of common stock"

"It measures the company's social responsibility initiatives"

"It determines the company's ability to secure loans"

"It reflects the company's overall brand value"

<< Back

Hi

Show Ans

i

What does the P/E ratio help investors understand?

"The market price of a share in relation to the company's earnings"

"The company's debt level compared to its equity"

"The profitability of a company compared to its stock price"

"The book value of a company's assets relative to its market value"

<< Back

Hi

Show Ans

i

What financial metric is commonly used to identify potential growth stocks?

"Price-to-book ratio"

"Earnings per share"

"Price-to-earnings ratio"

"Dividend yield"

<< Back

Hi

Show Ans

i

How do stock buybacks impact a company's earnings per share?

Earnings per share increase

Earnings per share remain unchanged

Earnings per share fluctuate unpredictably

Earnings per share decrease