Note 20 — Basic and Diluted Earnings (Loss) per Share

Basic earnings or loss per share excludes common stock equivalents and is calculated by dividing net income or loss attributable to Ocwen common stockholders by the weighted average number of common shares outstanding during the year. We calculate diluted earnings or loss per share by dividing net income or loss attributable to Ocwen by the weighted average number of common shares outstanding including the potential dilutive common shares related to outstanding stock options and restricted stock awards. For 2018, 2017 and 2016, we have excluded the effect of stock options and common stock awards from the computation of diluted loss per share because of the anti-dilutive effect of our reported net loss.



	Years Ended December 31,
	2018			2017			2016
Loss from continuing operations, net of tax attributable to Ocwen common stockholders	$	(72,181	)	$	(127,966	)	$	(199,762	)
Income from discontinued operations, net of tax	1,409			—			—
Net loss attributable to Ocwen stockholders	$	(70,772	)	$	(127,966	)	$	(199,762	)

Weighted average shares of common stock outstanding - Basic and Diluted	133,703,359			127,082,058			123,990,700

Earnings (loss) per share - Basic and Diluted
Continuing operations	$	(0.54	)	$	(1.01	)	$	(1.61	)
Discontinued operations	$	0.01		$	—		$	—
Total attributable to Ocwen stockholders	$	(0.53	)	$	(1.01	)	$	(1.61	)

Stock options and common stock awards excluded from the computation of diluted earnings per share
Anti-dilutive (1)	4,989,725			5,487,164			7,176,089
Market-based (2)	670,829			862,446			795,456


(1)	Includes stock options that are anti-dilutive because their exercise price was greater than the average market price of Ocwen’s stock, and stock awards that are anti-dilutive based on the application of the treasury stock method.


(2)	Shares that are issuable upon the achievement of certain market-based performance criteria related to Ocwen’s stock price.