Investing Answers Building and Protecting Your Wealth through Education Publisher of The Next Banks That Could Fail
Investing Answers Building and Protecting Your Wealth through Education Publisher of The Next Banks That Could Fail

Trailing Twelve Months (TTM)

What it is:

Trailing twelve months (TTM), sometimes referred to as last twelve months (LTM), is the 12-month interval that occurs before a designated point in time. 

How it works (Example):

For example, an analyst issuing a report on October 15, 2011 will report trailing twelve months (TTM) earnings as those from October 1, 2010 to September 30, 2011. 

Why it Matters:

Analysts and policymakers frequently use the trailing twelve months to gauge economic performance and to analyze data from the past year. It is important not to confuse trailing twelve months with the last fiscal year (LFY), which covers the organization's most recently-completed fiscal year.