- published: 09 Aug 2013
- views: 10250
Shares outstanding are all the shares of a corporation or financial asset that have been authorized, issued and purchased by investors and are held by them. They have rights and represent ownership in the corporation by the person that holds the shares. They are distinguished from treasury shares, which are shares held by the corporation itself and have no exercisable rights. Shares outstanding plus treasury shares together amount to the number of issued shares.
Shares outstanding can be calculated as either basic or fully diluted. The basic count is the current number of shares. Dividend distributions and voting in the general meeting of shareholders are calculated according to this number. The fully diluted shares outstanding count, on the other hand, includes diluting securities, such as warrants, capital notes or convertibles. If the company has any diluting securities, this indicates the potential future increased number of shares outstanding.
Earnings per share (EPS) is the monetary value of earnings per outstanding share of common stock for a company.
In the United States, the Financial Accounting Standards Board (FASB) requires EPS information for the four major categories of the income statement: continuing operations, discontinued operations, extraordinary items, and net income.
Preferred stock rights have precedence over common stock. Therefore, dividends on preferred shares are subtracted before calculating the EPS. When preferred shares are cumulative, annual dividends are deducted whether or not they have been declared. Dividends in arrears are not relevant when calculating EPS.
Diluted earnings per share (diluted EPS) is a company's earnings per share calculated using fully diluted shares outstanding (i.e. including the impact of stock option grants and convertible bonds). Diluted EPS indicates a "worst case" scenario, one that reflects the issuance of stock for all outstanding options, warrants and convertible securities that would reduce earnings per share.
Presenter: Nikhil Shares outstanding is the amount of shares that are currently being held by investors of a company. The shares outstanding figure is used in many calculations such as Market Capitalization, Earnings Per Share, Book Value per share and many more. The main advantage to knowing about the shares outstanding figure is that you can see any financial metric on a per share basis. This is useful because when looking at stock prices, they are always given to the public on a per share basis. A Company will cost example dollars per share. Since financial metrics aren't usually given on a per share basis, you can easily see them on a per share basis by dividing by outstanding shares. For example, book value will be given on the balance sheet, however, to compare the book value and the...
learn why share structure float and outstanding shares matter in order to move the stock.
A tutorial video by PerfectStockAlert.com teaching investors everything they need to know about Shares Outstanding. Visit our free website at http://www.PerfectStockAlert.com
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Accounting for weighted average of common stock number of shares outstanding, example is for calculating weighted average number of shares outstanding adjusted for stock dividends, extra stock issued and stock splits, no dilutive securities, Calculating Weighted Average Number of C/S Shares Outstanding &(Restating The Weighted-Average , No Dilutive Securities, C/S Only), When stock dividends or splits occur need to restate the shares outstanding before the stock dividend or split, Based on these stock activities calculate the weighted average (C/S) for each year & restate weigthed average from year to year, weighted average is the number of equivalent shares oustanding for each period, calculated by: (shares outstanding x restatment factor x fraction of year outstanding = weighted averag...
http://www.howtoinvesthq.com/share-types-outstanding-authorized/ - Full post explaining the different types of stock shares, authorized versus outstanding and float versus restricted. http://www.howtoinvesthq.com/ - Follow along for stock advice, investing strategies, stock analysis, and stock news.
Four commonly used types of common stock are: authorized, issued, treasury, and outstanding stock. Learn how companies strategically manage how these four types of common stock are held or offered to investors. Questions or Comments? Have a question or topic you’d like to learn more about? Let us know: Twitter: @ZionsDirectTV Facebook: www.facebook.com/zionsdirect Or leave a comment on one of our videos. Open an Account: Begin investing today by opening a brokerage account or IRA at www.zionsdirect.com Bid in our Auctions: Participate in our fixed-income security auctions with no commissions or mark-ups charged by Zions Direct at www.auctions.zionsdirect.com
Continuing from 16.01 - Earnings Per Share: Basic - Lesson 2, Roger Philipp, CPA, covers an in-depth example of a basic Earnings Per Share (EPS) calculation. He shows how tricky items such as a stock dividend, a stock split and a treasury stock repurchase are included in the weighted average common shares outstanding in the denominator. He then goes over net income minus preferred dividends in the numerator. Remember that weighted average common shares outstanding will generally not equal common shares outstanding at the end of the year and also that any retrospectively applied shares will apply to previous years shown in comparative financial statements. At the end of the lesson, Roger provides a helpful summary of basic EPS and also looks ahead to the next lecture on diluted EPS. We...
What does "fully diluted" mean? What implications does it have for how many shares are outstanding in my company? Why is this important and how does it relate to ownership percentage?
Presenter: Nikhil Shares outstanding is the amount of shares that are currently being held by investors of a company. The shares outstanding figure is used in many calculations such as Market Capitalization, Earnings Per Share, Book Value per share and many more. The main advantage to knowing about the shares outstanding figure is that you can see any financial metric on a per share basis. This is useful because when looking at stock prices, they are always given to the public on a per share basis. A Company will cost example dollars per share. Since financial metrics aren't usually given on a per share basis, you can easily see them on a per share basis by dividing by outstanding shares. For example, book value will be given on the balance sheet, however, to compare the book value and the...
learn why share structure float and outstanding shares matter in order to move the stock.
A tutorial video by PerfectStockAlert.com teaching investors everything they need to know about Shares Outstanding. Visit our free website at http://www.PerfectStockAlert.com
Professorsavings (http://professorsavings.com) daily money saving videos. Thanks for joining us. Please help us grow. +subscribe +like +comment +share Note: if you would like to request any finance topics to be taught, send us an email at support@professorsavings.com thanks Professor Savings
Accounting for weighted average of common stock number of shares outstanding, example is for calculating weighted average number of shares outstanding adjusted for stock dividends, extra stock issued and stock splits, no dilutive securities, Calculating Weighted Average Number of C/S Shares Outstanding &(Restating The Weighted-Average , No Dilutive Securities, C/S Only), When stock dividends or splits occur need to restate the shares outstanding before the stock dividend or split, Based on these stock activities calculate the weighted average (C/S) for each year & restate weigthed average from year to year, weighted average is the number of equivalent shares oustanding for each period, calculated by: (shares outstanding x restatment factor x fraction of year outstanding = weighted averag...
http://www.howtoinvesthq.com/share-types-outstanding-authorized/ - Full post explaining the different types of stock shares, authorized versus outstanding and float versus restricted. http://www.howtoinvesthq.com/ - Follow along for stock advice, investing strategies, stock analysis, and stock news.
Four commonly used types of common stock are: authorized, issued, treasury, and outstanding stock. Learn how companies strategically manage how these four types of common stock are held or offered to investors. Questions or Comments? Have a question or topic you’d like to learn more about? Let us know: Twitter: @ZionsDirectTV Facebook: www.facebook.com/zionsdirect Or leave a comment on one of our videos. Open an Account: Begin investing today by opening a brokerage account or IRA at www.zionsdirect.com Bid in our Auctions: Participate in our fixed-income security auctions with no commissions or mark-ups charged by Zions Direct at www.auctions.zionsdirect.com
Continuing from 16.01 - Earnings Per Share: Basic - Lesson 2, Roger Philipp, CPA, covers an in-depth example of a basic Earnings Per Share (EPS) calculation. He shows how tricky items such as a stock dividend, a stock split and a treasury stock repurchase are included in the weighted average common shares outstanding in the denominator. He then goes over net income minus preferred dividends in the numerator. Remember that weighted average common shares outstanding will generally not equal common shares outstanding at the end of the year and also that any retrospectively applied shares will apply to previous years shown in comparative financial statements. At the end of the lesson, Roger provides a helpful summary of basic EPS and also looks ahead to the next lecture on diluted EPS. We...
What does "fully diluted" mean? What implications does it have for how many shares are outstanding in my company? Why is this important and how does it relate to ownership percentage?
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