• Stock based compensation as part of executive pay is widespread.
• The common practice on Wall Street is that it is added to earnings, we can see no valid accounting reason for this.
• It’s probably the main driver between the growing gap between GAAP and non-GAAP earnings.
• That gap is often substantial, artificially boosting earnings, it’s basically a bubble.

A Worrying Artificial Bubble In Earnings – Ellie Mae, Inc. (NYSE:ELLI) | Seeking Alpha