Why Doesn’t The Normal P/E In The Historical Graph Match The Normal P/E In The Forecasting Graph?

Founder, F.A.S.T. Graphs • Oct 20, 2017 at 3:26 PM EDT

The earnings and price correlated historical graph (the main graph) includes forecasting data when you are running timeframes.

The earnings and price correlated historical graph (the main graph) includes forecasting data when you are running timeframes. In contrast, the “Historical” normal P/E ratio forecasting calculator is utilizing only completed historical data.

Therefore, in order to get the same normal P/E ratio on both the main graph and the forecasting graph, you have to scroll all of the earnings that are marked with a capital “E” off of the main graph, and then click the number of years you are looking for. By doing this, you will get the pure historical normal P/E ratio with no forecasting data included.

Here is an example below – using the 10-year timeframe:

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