Earnings Per Share

12 Months Ended

Dec. 31, 2021

Earnings per Share

Basic earnings per share is computed using the weighted-average number of outstanding shares of common stock during the period. Diluted earnings per share is computed using the weighted-average number of outstanding shares of common stock and, when dilutive, potential common shares outstanding during the period. Potential common shares consist of incremental shares issuable upon the assumed exercise of stock options. The computation of earnings per share is as follows:


	Year ended December 31,
	2021		2020		2019
	(in thousands, except per share data)
Basic earnings per share:
Net income	$	5,116,228	$	2,761,395	$	1,866,916
Shares used in computation:
Weighted-average common shares outstanding	443,155		440,922		437,799
Basic earnings per share	$	11.55	$	6.26	$	4.26
Diluted earnings per share:
Net income	$	5,116,228	$	2,761,395	$	1,866,916
Shares used in computation:
Weighted-average common shares outstanding	443,155		440,922		437,799
Employee stock options	12,217		13,286		13,966
Weighted-average number of shares	455,372		454,208		451,765
Diluted earnings per share	$	11.24	$	6.08	$	4.13

Employee stock options with exercise prices greater than the average market price of the common stock were excluded from the diluted calculation as their inclusion would have been anti-dilutive. The following table summarizes the potential common shares excluded from the diluted calculation:


	Year ended December 31,
	2021	2020	2019
	(in thousands)
Employee stock options	348	484	1,588