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EPS computation basis

Discuss EPS computation basis at the Fundamental Analysis within the Traderji.com - Discussion forum for Stocks Commodities & Forex; I have noticed that most online financial portals calculate EPS using Standalone numbers, whereas Brokerage ...


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  #1  
Old 14th March 2008, 06:51 PM
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Exclamation EPS computation basis

I have noticed that most online financial portals calculate EPS using Standalone numbers, whereas Brokerage Houses and Business Newspapes use Consolidated Numbers.

I have confirmed this phenomena with owners of a few portals and also with the largest Indian business paper (ET).

The difference in EPS using these two sets of numbers is sometimes as much as 50% and therefore the P/E computation also differs as much.

Please beware therefore when you look at P/E. Check the data source to see which numbers the calculation are based on before making your investment decision.

Last edited by cateye; 14th March 2008 at 07:27 PM. Reason: Grammar
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  #2  
Old 14th March 2008, 07:16 PM
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Default Re: EPS computation basis

Good call, mate.
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  #3  
Old 1st May 2008, 02:58 PM
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Default Re: EPS computation basis

Good observation!
As I am new to this field, I would like to know which method is appropriate?
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  #4  
Old 1st May 2008, 03:02 PM
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Smile Re: EPS computation basis

thanks for the information, but it would be nice to know that which method is more accurate
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Old 1st May 2008, 03:55 PM
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Default Re: EPS computation basis

Could some seniors explain P/E, EPS & other stock prices related raitos in simple language?
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  #6  
Old 1st May 2008, 08:28 PM
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Default Re: EPS computation basis

Quote:
Originally Posted by NILKANTH KORANNE View Post
Could some seniors explain P/E, EPS & other stock prices related raitos in simple language?
PE means price 2 earnings & EPS means earnings per share.
suppose an x stock is having an earning per share of 10 & the price is quoting @ 100.......the PE? 100/10.....YES...10

EPS is calculated as equity / NET profit
now ....EPS can b calculated for qtrly or yearly basis......analysts also project forward EPS on xpected profit
...
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  #7  
Old 10th June 2008, 04:22 AM
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Default Re: EPS computation basis

SUDOKU1, actually eps is earnings per share hence it should be
Net Profit/no. of shares.
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