Net (Loss) Income Per Share

3 Months Ended

May 02, 2020

Earnings Per Share [Abstract]

Net (Loss) Income Per Share

6. Net (Loss) Income Per Share

Basic Net (loss) income per share is Net (loss) income divided by the average number of common shares outstanding during the period. Diluted Net (loss) income per share includes incremental shares assumed for share-based awards and stock warrants. Potentially dilutive shares include stock options, unvested restricted stock units and awards, and warrants outstanding during the period, using the treasury stock method. Potentially dilutive shares are excluded from the computations of diluted EPS if their effect would be anti-dilutive.

The information required to compute basic and diluted Net (loss) income per share is as follows:

	Quarter Ended
(Dollars and Shares in Millions, Except per Share Data)	May 2, 2020			May 4, 2019
Numerator—Net (loss) income	$	(541	)	$	62
Denominator—Weighted-average shares:
Basic		154			161
Dilutive impact		—			1
Diluted		154			162
Net (loss) income per share:
Basic	$	(3.52	)	$	0.38
Diluted	$	(3.52	)	$	0.38

The following potential shares of common stock were excluded from the diluted Net (loss) income per share calculation because their effect would have been anti-dilutive:

	Quarter Ended
(Shares in Millions)	May 2, 2020		May 4, 2019
Stock options, awards, units, and warrants		6		—