Net Income Per Share

9 Months Ended

Sep. 30, 2019

Basic net income (loss) per share is computed by dividing net income (loss) for the period by the weighted average number of common shares outstanding during the period. Diluted net income (loss) per share is computed by dividing net income (loss) for the period by the weighted average number of shares of common stock and potentially dilutive common stock outstanding during the period. The dilutive effect of outstanding options and equity incentive awards is reflected in diluted net income (loss) per share by application of the treasury stock method. The calculation of diluted net income (loss) per share excludes all anti-dilutive common shares. The following table sets forth the computation of basic and diluted net income (loss) per share for the three and nine months ended September 30, 2019 and 2018 (in millions, except per share amounts):



	Three Months Ended September 30,				Nine Months Ended September 30,
	2019		2018		2019			2018
Numerator:
Income from continuing operations	$	310	$	720	$	1,234		$	1,765
Income (loss) from discontinued operations, net of income taxes	—		1		(4		)	5
Net income	$	310	$	721	$	1,230		$	1,770
Denominator:
Weighted average shares of common stock - basic	830		974		863			992
Dilutive effect of equity incentive awards	7		9		7			13
Weighted average shares of common stock - diluted	837		983		870			1,005

Income per share - basic:
Continuing operations	$	0.37	$	0.74	$	1.43		$	1.78
Discontinued operations	—		—		—			—
Net income per share - basic	$	0.37	$	0.74	$	1.43		$	1.78
Income per share - diluted:
Continuing operations	$	0.37	$	0.73	$	1.42		$	1.76
Discontinued operations	—		—		—			—
Net income per share - diluted	$	0.37	$	0.73	$	1.42		$	1.76
Common stock equivalents excluded from income per diluted share because their effect would have been anti-dilutive	6		15		19			12