16. EARNINGS PER SHARE
Diluted EPS is calculated using the weighted average outstanding common shares during the period, including common stock equivalents. Basic EPS is calculated using the weighted average outstanding common shares during the period.
The following table presents the calculation of basic and diluted EPS: 
 Year Ended December 31,
 202520242023
 (in millions, except per share amounts)
Weighted average shares - basic108.8 108.6 108.3 
Dilutive effect of stock awards0.7 0.7 0.2 
Weighted average shares - diluted109.5 109.3 108.5 
Net income available to common stockholders$956.2 $774.9 $709.6 
Earnings per common share:
Basic$8.79 $7.14 $6.55 
Diluted8.73 7.09 6.54 

Historical Timeline

Fiscal YearFiled
2025Feb 23, 2026Showing above
2024Feb 25, 2025
2023Feb 28, 2024
2022Feb 23, 2023
2021Feb 25, 2022
2020Feb 25, 2021
2019Mar 2, 2020
2018Mar 1, 2019
2017Feb 26, 2018
2016Feb 28, 2017
2015Feb 16, 2016

About Earnings Per Share Disclosures

The earnings per share disclosure breaks down the calculation from net income to both basic and diluted EPS, revealing the full impact of a company's capital structure on per-share economics. The reconciliation between basic and diluted share counts exposes how many stock options, RSUs, convertible securities, and warrants are potentially dilutive to existing shareholders.

Key signals: a widening gap between basic and diluted shares indicates growing dilution from equity compensation or convertible instruments. Anti-dilutive securities excluded from the diluted calculation deserve attention — they represent latent dilution that will materialize if the stock price rises. Watch for the effect of share buybacks on per-share metrics: EPS growth driven primarily by repurchases rather than income growth signals weakening fundamentals. Compare year-over-year changes in the diluted share count against equity compensation expense to assess whether management is effectively managing dilution.