I read this on investopedia:
"If the forward P/E ratio is lower than the trailing P/E ratio, it means analysts are expecting earnings to increase; if the forward P/E is higher than the current P/E ratio, analysts expect them to decrease"
Why?
If the company is estimating that their own earnings will be decreased going forwards, why would their past earnings data mean the company is wrong and their earnings will increase?
Submitted December 23, 2021 at 09:08AM by the_night_question https://ift.tt/3qnQs42
