Retained earnings per share
factor.formula
Retained earnings per share:
in:
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Retained Earnings Per Share.
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Represents the retained earnings of the most recent reporting period (period t). Retained earnings refer to the portion of net profit that a company has extracted but not yet distributed to shareholders, and are usually used to support the company's future development and operations. This value comes from the retained earnings item on the balance sheet and is an important indicator of the company's internal accumulated profitability.
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Indicates the total common stock capital in the most recent reporting period (period t). Total stock capital refers to the number of all common shares issued by the company and held by shareholders. It is the basis for calculating per-share indicators. This value is usually derived from the company's financial report or announcement.
factor.explanation
The higher the retained earnings per share, the higher the accumulated undistributed profit corresponding to each share of the company, which may indicate that the company has stronger internal financing capabilities and future development potential. From the perspective of value investment, high retained earnings per share may indicate higher dividends or stock value growth in the future. However, high retained earnings may also mean that the company lacks investment opportunities or shareholders are less willing to pay dividends, so a comprehensive analysis needs to be conducted based on the company's specific situation and industry characteristics.