In accordance with ASC 260, Earnings Per Share, a company that has participating securities (for example, our Preferred Stock) is required to utilize the two-class method for calculating earnings per share (“EPS”) unless the treasury stock method results in lower EPS. The two-class method is an allocation of earnings between the holders of common stock and a company’s participating securities. Basic EPS is calculated by dividing income or loss attributable to common stockholders by the weighted average number of shares of common stock outstanding. To calculate diluted EPS, basic EPS is further adjusted to include the effect of potentially dilutive stock options, Warrants, and Preferred Stock.

The following table summarizes the computation of basic and diluted net income (loss) per common share.



	Year Ended December 31,
	2019			2018			2017
Numerator:
Income (loss) from continuing operations	$	(46,741	)	$	(262,987	)	$	24,549
Income from discontinued operations, net of tax	—			—			137,688
Net income (loss)	(46,741		)	(262,987		)	162,237
Less: Preferred Stock cumulative dividends and deemed dividends	(642		)	—			—
Numerator for basic and diluted net income (loss) per common share (1)	$	(47,383	)	$	(262,987	)	$	162,237

Denominator:
Weighted average common shares outstanding	42,030			31,678			27,433
Effect of dilutive stock options	—			—			322
Diluted shares outstanding	42,030			31,678			27,755

Basic income (loss) from continuing operations per common share	$	(1.13	)	$	(8.30	)	$	0.89
Basic income from discontinued operations per common share	—			—			5.02
Basic net income (loss) per common share	$	(1.13	)	$	(8.30	)	$	5.91

Diluted income (loss) from continuing operations per common share	$	(1.13	)	$	(8.30	)	$	0.89
Diluted income from discontinued operations per common share	—			—			4.96
Diluted net income (loss) per common share	$	(1.13	)	$	(8.30	)	$	5.85
Cash dividends declared per common share	$	0.21		$	0.28		$	0.28

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(1) Preferred Stock does not participate in losses.

The following table presents the number of potentially dilutive securities that were excluded from the calculation of diluted income (loss) from continuing operations per common share and diluted net income (loss) per common share because they had an anti-dilutive effect.



	Year Ended December 31,
	2019	2018	2017
Options	577	428	400
Warrants	1,500	—	—
Preferred Stock, as-converted	12,976	—	—
	15,053	428	400

Given the loss from continuing operations in 2019 and 2018, all options and warrants are considered anti-dilutive and were excluded from the calculation of diluted loss from continuing operations per share and diluted net income (loss) per share. Stock options excluded from the calculations of diluted income (loss) from continuing operations per share had a per share exercise price ranging from $8.54 to $25.16 for the year ended December 31, 2019, and $4.42 to $25.16 for each of the years ended December 31, 2018, and 2017. Warrants excluded from the calculation of diluted income (loss) from continuing operations per share for the year ended December 31, 2019, had a per share exercise price of $12.00. Preferred Stock excluded from the calculation of diluted income (loss) from continuing operations per share for the year ended December 31, 2019, was calculated on an as-converted basis. Holders of Preferred Stock will have the right to convert up to 25% of their Preferred Stock into common shares per quarter after December 31, 2023, at a conversion price that equals a 30-day volume weighted average price per common share. Under certain conditions, holders of Preferred Stock may elect to convert their Preferred Stock into common shares at an earlier date after March 31, 2023, at a conversion price that equals 90% of the volume weighted average market price per common share. The potentially dilutive Preferred Stock in the preceding table presents the more dilutive result of these conversion prices as if the Preferred Stock were converted on December 31, 2019.