Financial Modeling Tutorials by CFI - Accretion/Dilution Analysis | How to Calculate Pro-Forma EPS

Master the essentials of accretion/dilution analysis by learning how to calculate pro-forma earnings per share (EPS) step by step. This tutorial teaches you the role of synergies and debt repayment in EPS growth and also how to: - Analyze initial EPS dilution and long-term accretion. - Link the acquirer's, target's, and pro-forma net earnings. - Calculate shares issued and pro-forma shares outstanding. Whether you're analyzing mergers and acquisitions or building financial models, this tutorial provides the tools and insights you need to evaluate the transaction's impact on shareholder value. Perfect for finance professionals, students, and M&A enthusiasts looking to deepen their knowledge! Chapters: 00:00 - Linking Net Earnings for Acquirer, Target & Pro-Forma Models 00:29 - Evaluating the Acquirer's Net Earnings Change 00:51 - Calculating Shares Outstanding & Issued 02:36 - Calculating Pro-Forma Earnings Per Share (EPS) 02:59 - Analyzing Initial Dilution vs. Long-Term Accretion 03:16 - Understanding Synergies & Debt Repayment Impact You can learn more about this topic at https://corporatefinanceinstitute.com/resources/knowledge/modeling/accretion-dilution Now that you know how to calculate pro-forma EPS in accretion/dilution analysis, watch https://youtu.be/tSLZCGG3RK8, where you'll learn how to build a complete merger model, incorporating synergies, purchase price allocation, and pro-forma financials to fully evaluate the impact of an M&A transaction. #Accretion #Dilution #Analysis #Proforma #EPS