Categories: Stocks

Cash EPS

Cash Earnings per Share (cash EPS) is a financial performance indicator comparing cash flow to the number of outstanding shares. Cash EPS is different from the EPS or Earnings per Share which compares a company’s net income on a per share basis. As it does not include non-cash components like depreciation which is included for EPS calculation, Cash EPS may be considered to be a more reliable measure of financial health and operational efficiency.

Cash EPS Explained

The higher a company’s cash EPS, the better is its performance for the period under consideration.
Cash EPS of a company can be used for comparison with other companies in its line of business.
Calculation of Cash EPS:
Cash EPS = Operating Cash Flow/Diluted Shares Outstanding
Where EPS = Earnings per share

abhilash.st

Share
Published by
abhilash.st

Recent Posts

PPF calculator

A PPF calculator is an online tool that helps you calculate the maturity amount at…

11 months ago

Non-Resident Indian (NRI) PPF Account

Non-resident Indians are not allowed to open a new PPF account. However, if a resident…

11 months ago

Minor Account

A PPF account can be opened by a parent or guardian on behalf of a…

11 months ago

Joint Account

PPF rules do not allow joint accounts. An account can only be opened in the…

11 months ago

Extension of PPF Account:

After the maturity of the PPF account, you have the option to extend it for…

11 months ago

Withdrawal

From the 7th financial year onwards, you can make partial withdrawals from your PPF account.…

11 months ago