Equities Fundamentals

Fundamental data provides summaries of a an equities underlying financial performance. Fundamental data is what is most forecasted by sell-side equity research analysts.


EPS Actual

Earnings per share (EPS) is calculated as a company's profit divided by the outstanding shares of its common stock. The resulting number serves as an indicator of a company's profitability. It is common for a company to report EPS that is adjusted for extraordinary items and potential share dilution.

EPS Estimate

Earnings per share (EPS) estimate is an analyst's estimate for a company's future quarterly or annual earnings per share (EPS). Future earnings estimates are arguably the most important input when attempting to value a firm. By placing estimates on the earnings of a firm for certain periods (quarterly, annually, etc.), analysts can then use cash flow analysis to approximate fair value for a company, which in turn will give a target share price.

EPS Difference

The difference between the EPS actual and the EPS estimate for a company. The value of this metric provides insight as to whether the company exceeded or failed to live up to the earnings estimates of the analysts that monitor the company.

EPS Surprise Percent

An earnings surprise occurs when a company reports quarterly or annual profits above or below analysts' expectations. These analysts, who work for a variety of financial firms and reporting agencies, base their expectations on a variety of sources, including previous quarterly or annual reports and current market conditions, as well as the company's own earnings' predictions or "guidance." This metric expresses the "surprise" as a percentage of the earnings estimate for a given quarter.

Last updated