Trailing Twelve Months (TTM) simply explained

Feb 17, 2022 | Knowledge Trailing Twelve Months (TTM) simply explained

TTM means "Trailing Twelve Months" in the context of fundamental key figures. TTM is the abbreviation for "Trailing Twelve Months". By taking into account the last 12...

Table of Contents

  1. What Does TTM Mean?
  2. TTM Basics
  3. TTM Metric Examples
  4. Where to Find TTM Data?

What Does TTM Mean?

TTM stands for “Trailing Twelve Months,” representing the most recent 12 consecutive months, incorporating the latest four quarterly reports. This method ensures up-to-date data, which can differ significantly from annual figures.

Formula: TTM=Last Quarter+Second Last Quarter+Third Last Quarter+Fourth Last Quarter

LTM: LTM (Last Twelve Months) is synonymous with TTM, though TTM is more commonly used.

TTM Basics

Professional investors and analysts prefer TTM due to its seasonally adjusted recency, making it particularly relevant for financial metrics like Earnings Per Share (EPS).

TTM Metric Examples

  • Revenue (TTM): Total income from products or services over the last 12 months.
  • EBIT (TTM): Operating profit or loss over the last 12 months.
  • Net Profit (TTM): Profit or loss after all expenses and taxes over the last 12 months.
  • Free Cash Flow (TTM): Available profit for dividends, share buybacks, or debt repayment over the last 12 months.

Evaluation Metrics (TTM): EV/Sales, EV/FCF, P/E ratio, P/S ratio, etc., are calculated daily using TTM figures in stocks.guide.

Where to Find TTM Data?

TTM data is available in various sections of stocks.guide, allowing you to switch between quarterly, TTM, and annual data for financial metrics.

Oscar Leistikow

Written By: Oscar Leistikow

Oscar Leistikow holds a Master's degree in Controlling and is at home in the world of numbers thanks to his many years of professional experience in the finance department of a DAX-listed company. He is fascinated by the capital markets and is an enthusiastic private investor himself. His aim is to pass on his knowledge of shares and the stock market and to develop StocksGuide into a leading tool for private investors.