How to Calculate Inflation-Adjusted EPS
- 1). Find the consumer price index for your period. This is released by the Bureau of Labor Statistics. For example, assume the CPI is 120.
- 2). Find your earnings per share. In the example, assume a company's earnings per share is $3.20 per share.
- 3). Divide your earnings per share by the consumer price index, then multiply the result by 100. In the example, $3.20 divided by 120 equals 0.0267. Then, 0.0267 times 100 equals $2.67 per share.
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