Definition

Diluted EPS

Net income available to common shareholders divided by the weighted-average share count assuming all in-the-money options, RSUs, and convertibles become shares. It is the conservative per-share earnings figure and the one comparisons should default to.

Formula

Diluted EPS = Net income attributable to common ÷ Diluted weighted-average shares

Drivers — what actually moves it

Net income: everything upstream on the income statement.
Share count: buybacks shrink the denominator; option/RSU issuance grows it.
Dilutive instruments: options and converts enter the count as the share price rises.

Where to find it in the filing

Income statement (per-share data). 10-K Item 8 — basic and diluted EPS beneath net income, with the share-count reconciliation in the EPS note.

XBRL concepts Echelon grounds to: EarningsPerShareDiluted · WeightedAverageNumberOfDilutedSharesOutstanding

Prove it on a model

Accretion / dilution on AAPL’s filing“Is this deal accretive or dilutive?”

Sector caveats — where this breaks

Always read diluted next to basic — a wide gap flags heavy stock-based compensation or convertible overhang.

Net margin Weighted-average shares

Educational use only — not investment advice. Figures come from public SEC filings; Echelon teaches you to analyze data, it never recommends buying or selling any security.