Revenue Per Share

Total revenue divided by the number of outstanding shares.

What Is Revenue Per Share?

Revenue per share divides a company's total revenue by its outstanding shares. While EPS gets all the attention, revenue per share reveals whether top-line growth is actually benefiting shareholders or being diluted away by new share issuance.

Revenue Per Share = Total Revenue ÷ Shares Outstanding

Why It Matters

A company can show 20% revenue growth, but if it issued 15% more shares (through stock-based compensation or acquisitions), revenue per share only grew 5%. This metric strips away the distortion of dilution and shows the true growth each shareholder is experiencing.

Combining with EPS

Tracking both revenue per share and EPS together tells a complete story. If revenue per share is growing faster than EPS, margins are compressing. If EPS is growing faster, margins are expanding. Both scenarios have important implications for stock valuation.