diluted earnings per share

Definition

Earnings per share, including common stock, preferred stock, unexercised stock options, unexercised warrants, and some convertible debt. In companies with a large amount of convertibles, warrants and stock options, diluted earnings per share are usually a more accurate measure of the company's real earning power than earnings per share.

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Related Terms

primary earnings per share, basic earnings per share, fully diluted earnings per share, diluted share

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