When an investor is talking about earnings per share, what they mean is either basic or diluted EPS. If you want to calculate the basic EPS, you will have to divide a company’s net income after taxes ...
Gordon Scott has been an active investor and technical analyst or 20+ years. He is a Chartered Market Technician (CMT). Basic earnings per share (EPS) tells investors how much of a firm's net income ...
One of the few areas of startups that techies or founders get wrong is their understanding of stock dilution, also called share or equity dilution, and how to calculate dilution. Dilution is the ...
Founders frequently underestimate the equity dilution impacts of funding rounds and employee stock option plans (ESOPs). Consider two stark examples: Eric Yuan's ownership in Zoom dwindled to 22% by ...