Shares outstanding
Fundamental analysisAlso called: Outstanding shares, Share count, Number of shares
The total number of shares a company has issued and that are currently in existence, promoter-held and public alike.
In plain terms
The number that turns a share price into a company size, and turns your holding into a fraction of the business. Without it a price means nothing.
Read the full lesson →Book value per share
Fundamental analysisAlso called: BVPS
Net worth divided by the number of shares outstanding.
In plain terms
The anchor of a lender’s valuation, because its assets are financial and its return is earned on the capital base. For a business whose value sits in brands or people it says very little.
Read the full lesson →EPS
AccountingEarnings per share — net profit divided by shares outstanding.
In plain terms
Can rise from buybacks alone. Always check net profit rose too.
Read the full lesson →Market capitalisation
Market basicsAlso called: Market cap
Share price multiplied by the number of shares outstanding — the market’s valuation of the whole company.
In plain terms
The real measure of how big a company is. Share price alone tells you nothing.
Read the full lesson →Weighted average share count
AccountingAlso called: Weighted average number of shares
The number of shares outstanding over a period, weighted by the portion of the period each was outstanding — the denominator of earnings per share.
In plain terms
It is why four quarterly earnings-per-share figures do not add up to the annual one when shares were issued mid-year. Build a trailing figure from profit, then divide once.
Read the full lesson →