"NO - "Profit Margins" (not profits, not net income, not taxable income etc..) and "EPS" are two very different numbers and computations."
Firstly, you're not going to do me a service by trying to "teach" me anything about finance. A) I graduated with a degree B) Engage in its use as a full time living C) Have done so for nearly 20 years now and D) never stated that profit margin and EPS were the same thing. But, I do appreciate your convictions.
"EPS is buttom line net income of a corporation."
Exactly what I said.
"Its what you apply the PE ratio to for valuing a corporation."
No it isn't. EPS is what is used in order to DERIVE the P/E metric. You don't APPLY the EPS to the P/E, it's where the P/E comes from.
"So for valuing NNLX corp. its a net income amount that needs to be computed. HOWEVER, in valuing the NNLX's products you use profit margins (a sub-set of data within net income) to detmine it is value."
There are so many ways to valuing a business, none in which I'm interested in debating with you about.
The profit margin of a business is simple. Net Income divided by Total Revenue. Simple as it gets and non-debatable.