Why is PE(ttm) preferred by many analysts? It is more accurate It is based on audited financials It is a better predictor of future performance It is mandated by the SEC How is E determined for Forward PE? audited financials trend forecasts of past earnings opinions of the company's executive management opinions of market analysts independent analysis by government economists What is the principal shortcoming of PE(ttm)? inaccuracies in reported financial earnings data historical data may not predict future performance difficulties in verifying EPS Stock analysis can be overly conservative