Financial and business terms. 2012.
Trailing Price-To-Earnings - Trailing P/E — The sum of a company s price to earnings, calculated by taking the current stock price and dividing it by the trailing earnings per share for the past 12 months. This measure differs from forward P/E, which uses earnings estimates for the next… … Investment dictionary
Trailing — The most recent time period, often used to describe the time that a particular set of data is referring to. Trailing is used to describe a past statistic, such as same store sales, but can also be used to describe a technique, such as a trailing… … Investment dictionary
earnings per share — ( EPS) A company s profit divided by its number of common outstanding shares. If a company earning $2 million in one year had 2 million common shares of stock outstanding, its EPS would be $1 per share. In calculating EPS, the company often uses… … Financial and business terms
Trailing EPS — The sum of a company s earnings per share for the previous four quarters. The descriptive word trailing implies previous years versus a present or forward EPS. Most recorded and quoted EPS values are trailing … Investment dictionary
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… … Investment dictionary
trailing sales — Past sales. Often used in the valuation of companies that have negative cash flows or earnings. The company is said to be valued at some multiple of past sales usually, the last 12 months sales. Bloomberg Financial Dictionary … Financial and business terms
Forward Earnings — A company s forecasted, or estimated, earnings made by analysts or by the company itself. Forward earnings differ from trailing earnings (which is the figure that is quoted more often) in that they are a projection and not a fact. There is are… … Investment dictionary
Price-Earnings Ratio - P/E Ratio — A valuation ratio of a company s current share price compared to its per share earnings. Calculated as: Market Value per Share Earnings per Share (EPS) For example, if a company is currently trading at $43 a share and earnings over the last 12… … Investment dictionary
price-earnings ratio — Shows the multiple of earnings at which a stock sells. Determined by dividing current stock price by current earnings per share (adjusted for stock splits). Earnings per share for the P/E ratio are determined by dividing earnings for past 12… … Financial and business terms
Forward looking multiple — A truncated expression for a P/E ratio that is based on forward (expected) earnings rather than on trailing earnings. The New York Times Financial Glossary … Financial and business terms
