The competency - based interview is conducted on the premise that «past behavior is the best predictor of future performance». (elearningindustry.com)
Long used in the business world, behavior - based interviewing is built on the premise that past behavior is the best predictor of future performance. (ascd.org)
In other words, forward P / E ratios can be a good predictor of future returns for low uncertainty stocks but are quite inaccurate for high uncertainty stocks. (investmentreview.com)