
EPS measures net income per outstanding share
EPS measures net income per outstanding share
What a dividend yield measures — annual dividend divided by share price
Dividend yield measures the percentage of annual dividend relative to the current share price
What the debt-to-income ratio measures — monthly debt payments divided by gross monthly income
Debt-to-income ratio measures monthly debt payments as a percentage of gross monthly income
What Buffett's annual letters consistently emphasize — focus on return on equity, not earnings per share
Buffett's letters stress long-term value creation via high return on equity
What Graham's net-net strategy is — buy stocks trading below net current asset value
Graham's net-net strategy: Buying stocks with price below net current assets
What a stock split does — increases share count while proportionally reducing price
Stock splits increase the number of shares, proportionally decreasing the price per share
What GDP measures — total value of goods and services produced in a country in a year
GDP measures the total monetary value of goods and services produced within a country's borders annually
Educational content, not financial advice.
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