trailing P/E

trailing P/E definition - business

trailing P/E

The price-earnings ratio of a firm's common stock calculated as the current stock price divided by the previous year's earnings per share. Compare forward P/E.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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