Eaning Per Share (EPS)__Easy Facts.

Is it really so important to know about EPS of a company to make an investment in the share market?
The answer is simply "NO".
Why 'NO'?
Because  thousands of investors are investing lots of money in the market without knowing anything about the company EPS and also earning a lot of money..
Than why all the stock expert  always advices investor to look upon the company EPS before  buying a share from the market?
Suppose you are going to buy some shares of a company and actually know nothing about the structure of that individual company.Also suppose that the company you have selected does not exist physically but only exist in the share market.Does it mean that,if you buy that no-existing company's share,you will lose?
Here again the answer is A BIG NO.
Because sometimes the price of of some junk share goes too much higher than a good fundamental share(its ridiculous,right?).
Anyways,if we throw all of our YES/NO question for a little bit of time,may be we will able to know about what really mean by EPS.
We all the investors know that,if a company is running,they will normally gain some profit.The more profit earner company,we can assume a good company and a good company never loses (if it not of its really very bad luck).
Suppose you own 2 transport buses on the road and you are getting tk.2700/ per day(on an average) from  that 2 buses rents.So if someone ask,how much you are getting from your buses that what will be your answer?
Your answer will be Earning(E) Per(P) Bus (B) is  tk.2700.If we abbreviate the word Earning(E) Per(P) Bus (B),we will get EPB,right?
Similarly if a company,listed in the share market is really profiting than they will a profit for each share.If we ask in this case,How much this company is earning from each share than they will answer you that EPS is tk3.65 (or something else)..
What the hell is that?
You questioned about how much are they earning and they answered with an alien word EPS?
Oh God,they have a very easy abbreviated terms for your long described question..Technically,unconsciously,you have asked about their Earning(E) Per(P) Share(S),which is EPS..
If we divide Net Earning by the Outstanding Shares,We will get the EPS very easily which is exactly as same as EPB (up)