investing

Lingo every investor should know

Hitting the trail
Next
7 of 9
Back

Don't be confused: TTM isn't a cable channel showing old movies. It can give you a clearer picture of your investment, however. TTM stands for trailing twelve months. Generally, that means it measures the performance of your company over the most recent four quarters, regardless of whether they're in the same fiscal year.

TTM can measure things such as sales, profits and the P-E ratio. It's especially helpful if you're checking on a company whose operations may have sharp seasonal swings -- the most recent quarterly report might not provide an accurate picture.

"Typically we use TTM in discussions with clients when we’re reporting on performance, and want to base our performance valuations on longer periods of time," says Rimel.


 

 

advertisement

Show Bankrate's community sharing policy
          Connect with us
advertisement
CD & INVESTING NEWSLETTER

Learn the latest trends that will help grow your portfolio, plus tips on investing strategies. Delivered weekly.

CDs and Investment

Move money to retirement account?

Dear Liz, Can I convert my regular investment account to a retirement account so that an investment made in that account is not taxed? If so, what type of retirement account can I choose? -- Jennifer Dear Jennifer, It's... Read more

advertisement

Blog

Jean Chatzky

Jean Chatzky: Learn to love stocks

These four steps can help get you started in the market slowly, but smartly.  ... Read more

Partner Center
advertisement

Connect with us