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Home > QFINANCE Dictionary > Definition of weighted average number of shares outstanding

Definition of

weighted average number of shares outstanding

Stockholding & Investments

figure used for calculating earnings per share the number of shares of common stock at the beginning of a period, adjusted for shares canceled, bought back, or issued during the period, multiplied by a time-weighting factor. This number is used in the calculation of earnings per share.

Related definitions of "weighted average number of shares outstanding"

weighted average number of shares outstanding - Related Articles
  • Understanding the Weighted Average Cost of Capital (WACC)

    Checklists

    of the equity of a publicly traded company, as this is simply the price per share multiplied by the number of outstanding shares. Likewise, the market value of preferred shares is easy to determine and is calculated by multiplying the cost per share by number of outstanding shares. The market value of a company

  • Obtaining an Equity Value Using the Weighted Average Cost of Capital (WACC)

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    is calculated by multiplying the number of common shares currently outstanding by the share price.

  • Earnings per Share

    Calculations

    For instance, while companies usually use a weighted average number of shares outstanding over the reporting period, shares outstanding can still be either “primary” or “fully diluted.” Primary EPS is calculated using the number of shares that are currently held by investors in the market and able

  • Estimating Enterprise Value with the Weighted Average Cost of Capital

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    Estimating enterprise value with the weighted average cost of capital (WACC) also takes the share price into account. WACC is the rate at which a company must pay to finance its assets. It is the minimum return that a company needs to earn from its existing asset base in order to satisfy its creditors, owners, and any other of its capital providers, and to keep its stock price constant.

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Definitions of ’weighted average number of shares outstanding’ and meaning of ’weighted average number of shares outstanding’ are from the book publication, QFINANCE – The Ultimate Resource, © 2009 Bloomsbury Information Ltd. Find definitions for ’weighted average number of shares outstanding’ and other financial terms with our online QFINANCE Financial Dictionary.

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