P/E ratios found in published sources or on the internet are always computed by dividing the next period's expected earnings into the current price of the stock.

Question

Quizplus · Accepted Answer

P/E ratios can be computed using either the past 12 months' actual earnings (trailing P/E) or using the forecasted earnings for the next 12 months (forward P/E), not exclusively the next period's expected earnings.

P/E Ratios Found in Published Sources or on the Internet