Trailing Twelve Months sum — adds the last 4 quarterly values to produce an annualised figure without waiting for a full fiscal year end.
Formula: TTM = Q(n) + Q(n-1) + Q(n-2) + Q(n-3)
How to read it: No single benchmark — context-dependent. Use TTM EPS with P/E, TTM Revenue with P/S, etc. The value replaces annual figures in any valuation metric for more timely analysis.
TTM became standard in equity research to allow apples-to-apples comparisons between companies with different fiscal year-ends. Banks, analysts, and screeners universally use TTM revenue and earnings multiples.