Trailing Twelve Months - TTM


DEFINITION of 'Trailing Twelve Months - TTM'

The timeframe of the past 12 months used for reporting financial figures. A company's trailing 12 months is a representation of its financial performance for a 12-month period, but typically not at its fiscal year end. Since quarterly reports rarely report how the company has done in the past 12 months, TTM tends to be calculated manually or found on various websites.


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BREAKING DOWN 'Trailing Twelve Months - TTM'

Trailing 12 months figures can be calculated by subtracting the previous year's results from the same quarter as the most recent quarter reported and adding the difference to the latest fiscal year end results.

TTM figures are also often used to calculate financial ratios. For example, the price/earnings ratio is often quoted as P/E (ttm), meaning they're using the EPS from the past 12 months.

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    The price-to-earnings ratio (P/E) is an important valuation metric used in fundamental analysis. It tells investors how much ... Read Full Answer >>
  2. What metrics are most commonly used to evaluate companies in the insurance sector?

    Insurance sector companies, as any other non-financial service, are evaluated based on their profitability, expected growth, ... Read Full Answer >>
  3. Where on the internet can I look up price to sales ratios for specific companies?

    The price-to-sales (P/S) ratio is an important metric used by investors to value a stock. It indicates how the market values ... Read Full Answer >>
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    The short answer? No. The long answer? It depends. The price-to-earnings ratio (P/E ratio) is calculated as a stock's current ... Read Full Answer >>
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