What is Earnings per Share (EPS)?
Earnings per share shows how much profit a company generated for each ordinary share. It expresses profitability on a per-share basis and underpins P/E valuation and earnings-growth analysis.
EPS formula
EPS = Profit attributable to ordinary shareholders ÷ Weighted-average shares
If attributable profit is 10 billion and weighted-average shares are 50 million, EPS is 200. Weighted-average shares reflect issuance and treasury-share changes during the period.
Calculate EPS
EPS
200
This is a simplified calculation. Reported EPS may also reflect weighted-average shares, preferred dividends and dilution.
Current EPS levels in Japan
Price date: October 20, 2026
Median TTM EPS
99.66
Trailing 12 months, including losses
Positive EPS share
88.2%
3,304 profitable stocks
Negative EPS
440
Stocks with trailing losses
Stocks with EPS
3,744 / 3,958
214 stocks missing
TTM EPS distribution
Losses are included. Absolute EPS is not a quality ranking because share units differ across companies and stock splits.
Trailing vs forecast EPS
Compare actual and company-guidance medians under the same universe rules.
- Trailing EPS (TTM)
- 99.66
- n = 3,744
- Forecast EPS (company guidance)
- 106.7
- n = 3,462
The difference between these medians is not a same-stock growth rate; forecast coverage also differs.
Median TTM EPS by sector
Sectors with at least 10 stocks. Because absolute EPS depends on share units, read it as context together with the positive-EPS rate.
Examples from large-cap stocks
This is not a recommendation ranking. It compares trailing, forecast and split-adjusted EPS growth in one table.
- Price
- ¥3,351-3.65%
- TTM EPS
- 237.38
- Forecast EPS
- -
- 3Y growth
- 32.9%
- 5Y growth
- 28.6%
- Price
- ¥3,102+0.00%
- TTM EPS
- 351.38
- Forecast EPS
- 251.25
- 3Y growth
- 18.1%
- 5Y growth
- 12.9%
- Price
- ¥18,800+0.13%
- TTM EPS
- 411.29
- Forecast EPS
- 447
- 3Y growth
- 27.5%
- 5Y growth
- 34.4%
- Price
- ¥5,810+0.64%
- TTM EPS
- 176.99
- Forecast EPS
- 188.78
- 3Y growth
- 8.9%
- 5Y growth
- 11.2%
- Price
- ¥4,554-6.01%
- TTM EPS
- 860.66
- Forecast EPS
- -
- 3Y growth
- -
- 5Y growth
- 5.9%
- Price
- ¥33,870-1.68%
- TTM EPS
- 633.28
- Forecast EPS
- 641.61
- 3Y growth
- 43.5%
- 5Y growth
- 42.2%
- Price
- ¥3,148-3.85%
- TTM EPS
- 223.07
- Forecast EPS
- 223.75
- 3Y growth
- 27.9%
- 5Y growth
- 27%
- Price
- ¥3,960+0.00%
- TTM EPS
- -36.03
- Forecast EPS
- -
- 3Y growth
- -
- 5Y growth
- -
Basic, diluted and adjusted EPS
EPS labels differ by share-count assumptions and stock-split treatment.
- Basic EPS
- Share basis
- Weighted-average ordinary shares
- Primary use
- Reported profit per share
- Caution
- Does not include potential dilution
- Diluted EPS
- Share basis
- Includes options and convertible securities
- Primary use
- Potential ownership dilution
- Caution
- Anti-dilutive instruments are excluded
- Adjusted EPS
- Share basis
- Restates splits and consolidations
- Primary use
- Growth and time-series comparison
- Caution
- Use a consistent adjustment date
Reported, TTM and forecast EPS
Reported EPS
A confirmed fiscal-period value used for annual growth and guidance comparisons.
TTM EPS
Actual earnings over the latest 12 months, improving comparability across fiscal year-ends.
Forecast EPS
Current-year company guidance that changes with revisions and progress.
How to read EPS growth
Across companies, the trend and quality of growth matter more than the absolute EPS amount.
Check whether growth is durable
- Revenue and operating profit also grow
- Net income grows, not only buybacks
- Growth persists over three and five years
- Guidance assumptions and progress are credible
When growth can mislead
- A loss-to-small-profit turn creates an extreme rate
- One-off gains or tax effects lift net income
- Stock-split bases are inconsistent
- The starting point is a cyclical trough
EPS rises through higher net income, fewer shares, or both. Break the change into revenue, operating profit, net income and share count to understand its source.
How EPS relates to P/E and price
Price = EPS × P/E
A rising EPS may not lift the price if P/E contracts, while a flat EPS can coincide with a higher price if expectations expand the multiple. Separate earnings growth from valuation change.
Stock splits and EPS
Do not compare unadjusted values across a split
A two-for-one split roughly halves EPS even when total profit is unchanged; profitability did not deteriorate. Stock Club prioritises split-adjusted EPS for time series and growth rates.
How Stock Club calculates and aggregates EPS
- Reported EPS comes from earnings releases and securities reports, with basic and diluted values kept on the same source basis.
- TTM EPS combines the latest 12 months on a current-share, split-adjusted basis.
- Forecast EPS uses current-year company guidance.
- Market statistics cover active Japanese EQUITY records and exclude ETFs and REITs.
- Negative EPS is meaningful, so losses remain in medians, distributions and positive-EPS rates.
- Three- and five-year growth use split-adjusted EPS and remain blank when periods are not comparable.
This page is for information only and does not recommend any security. Review company disclosures and current information before making investment decisions.
EPS FAQ
Is higher EPS always better?
Sustained growth can signal improving profitability within the same company. Across companies, however, share counts and stock splits differ, so absolute EPS alone is not a quality ranking.
What does negative EPS mean?
It means the company recorded a loss per share for the period. Review whether the loss is temporary or structural in the income statement.
How are EPS and P/E related?
P/E equals share price divided by EPS. Rearranged, share price equals EPS multiplied by P/E, so both earnings growth and valuation changes affect the price.
Basic EPS vs diluted EPS?
Basic EPS uses weighted-average ordinary shares. Diluted EPS also reflects potential shares from options or convertible securities and is normally no higher in a profitable period.
Should I use trailing or forecast EPS?
Trailing EPS is reported fact; forecast EPS is an outlook. Use both together with historical trends, guidance progress and revisions.
What happens to EPS after a stock split?
EPS per share falls mechanically when each share is split into several shares. Historical comparison requires split-adjusted EPS on a consistent current-share basis.
Put EPS into practice
Use Stock Club's screener to combine EPS, forecast EPS, three- and five-year EPS growth, P/E and ROE.