Net Income Per Share

3 Months Ended

Mar. 31, 2022

Earnings Per Share [Abstract]

Net Income Per Share

Net Income Per Share

The following table sets forth the calculation of basic and diluted net income per share:

	Three Months Ended March 31,
	2022		2021
	(In millions, except net income per share)
Numerator:
Net income	$	258	$	228
Denominator:
Shares outstanding at the beginning of the period	57.9		58.0
Weighted-average number of shares issued:
Stock-based compensation	0.1		0.1
Stock purchases	—		(0.4)
Denominator for basic net income per share	58.0		57.7
Effect of dilutive securities: (1)
Stock-based compensation	0.7		0.9
Denominator for diluted net income per share	58.7		58.6
Net income per share - Basic (2)	$	4.45	$	3.95
Net income per share - Diluted (2)	$	4.39	$	3.89

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(1)    The dilutive effect of all potentially dilutive common shares is calculated using the treasury stock method.

(2)    Source data for calculations in thousands.