diluted earnings per share
A measurement used to evaluate the quality of a company's earnings per share. Diluted earnings are calculated by adding convertible securities to outstanding shares and dividing that number into the company's net earnings. It is intended to convey a worst case scenario if every investor and employee with warrants, convertible debentures, and stock options exercised the option to convert them to outstanding shares. Compare to Basic Earnings Per Share.
Browse by Subjects
anti-dilution provision
basic earnings per share (basic EPS)
fully diluted earnings
dilution
income statement
See All Related Terms »

easy market
equity
credit bank
sold out market
Canadian Derivatives Exchange