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Martha Stewart Living Omnimedia (FRA:MLV) Sloan Ratio % : -0.53% (As of Sep. 2015)


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What is Martha Stewart Living Omnimedia Sloan Ratio %?

Richard Sloan from the University of Michigan was first to document what is referred to as the "accrual anomaly". His 1996 paper found that shares of companies with small or negative accruals vastly outperform (+10%) those of companies with large ones.

Martha Stewart Living Omnimedia's Sloan Ratio for the quarter that ended in Sep. 2015 was -0.53%.

As of Sep. 2015, Martha Stewart Living Omnimedia has a Sloan Ratio of -0.53%, indicating the company is in the safe zone and there is no funny business with accruals.


Martha Stewart Living Omnimedia Sloan Ratio % Historical Data

The historical data trend for Martha Stewart Living Omnimedia's Sloan Ratio % can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Martha Stewart Living Omnimedia Sloan Ratio % Chart

Martha Stewart Living Omnimedia Annual Data
Trend Dec05 Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14
Sloan Ratio %
Get a 7-Day Free Trial Premium Member Only Premium Member Only -5.23 -9.34 -24.25 -3.14 5.49

Martha Stewart Living Omnimedia Quarterly Data
Dec10 Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15
Sloan Ratio % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 3.81 4.93 -11.82 -0.59 -0.53

Competitive Comparison of Martha Stewart Living Omnimedia's Sloan Ratio %

For the Publishing subindustry, Martha Stewart Living Omnimedia's Sloan Ratio %, along with its competitors' market caps and Sloan Ratio % data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Martha Stewart Living Omnimedia's Sloan Ratio % Distribution in the Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Martha Stewart Living Omnimedia's Sloan Ratio % distribution charts can be found below:

* The bar in red indicates where Martha Stewart Living Omnimedia's Sloan Ratio % falls into.



Martha Stewart Living Omnimedia Sloan Ratio % Calculation

Earnings contain a lot of non cash earnings which is called accruals. The Sloan ratio is a way to identify firms with low non-cash or accrual-derived earnings relative to their cash flow.

Martha Stewart Living Omnimedia's Sloan Ratio for the fiscal year that ended in Dec. 2014 is calculated as

Sloan Ratio=(Net Income (A: Dec. 2014 )-Cash Flow from Operations (A: Dec. 2014 )
-Cash Flow from Investing (A: Dec. 2014 ))/Total Assets (A: Dec. 2014 )
=(-4.102-2.195
--11.701)/98.519
=5.49%

Martha Stewart Living Omnimedia's Sloan Ratio for the quarter that ended in Sep. 2015 is calculated as

Sloan Ratio=(Net Income (TTM)-Cash Flow from Operations (TTM))
-Cash Flow from Investing (TTM))/Total Assets (Q: Sep. 2015 )
=(-0.593--7.588
-7.459)/87.781
=-0.53%

Martha Stewart Living Omnimedia's Net Income for the trailing twelve months (TTM) ended in Sep. 2015 was 5.55 (Dec. 2014 ) + -2.389 (Mar. 2015 ) + -2.436 (Jun. 2015 ) + -1.318 (Sep. 2015 ) = €-0.59 Mil.
Martha Stewart Living Omnimedia's Cash Flow from Operations for the trailing twelve months (TTM) ended in Sep. 2015 was -3.903 (Dec. 2014 ) + 4.658 (Mar. 2015 ) + -2.244 (Jun. 2015 ) + -6.099 (Sep. 2015 ) = €-7.59 Mil.
Martha Stewart Living Omnimedia's Cash Flow from Investing for the trailing twelve months (TTM) ended in Sep. 2015 was 8.457 (Dec. 2014 ) + 8.019 (Mar. 2015 ) + -15.89 (Jun. 2015 ) + 6.873 (Sep. 2015 ) = €7.46 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Martha Stewart Living Omnimedia  (FRA:MLV) Sloan Ratio % Explanation

A former University of Michigan researcher, Richard Sloan's 1996 paper found that shares of companies with small or negative accruals vastly outperform (+10%) those of companies with large ones. In fact, for the 40-year period between 1962 and 2001, buying the lowest accrual companies and shorting the highest accrual companies resulted in an average annual compounded return of 18%, more than double the S&P 500's 7.4% annual return over the same period.

According to How to Beat the Market with the Sloan Ratio:

If the Sloan Ratio is between -10% and 10%, the company is in the safe zone and there is no funny business with accruals.

If the Sloan Ratio is less than between -25% and -10% on the negative side, and between 10% and 25% on the positive side, this is a warning stage of accrual build up.

If the Sloan Ratio is less than -25% or greater than 25%, and this ratio is consistent over several quarters or even years, be careful. Earnings are highly likely to be made up of accruals.

As of Sep. 2015, Martha Stewart Living Omnimedia has a Sloan Ratio of -0.53%, indicating the company is in the safe zone and there is no funny business with accruals.


Martha Stewart Living Omnimedia Sloan Ratio % Related Terms

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Martha Stewart Living Omnimedia (FRA:MLV) Business Description

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Martha Stewart Living Omnimedia Inc is an integrated media and merchandising company providing consumers with inspiring lifestyle content and well-designed, high-quality products. The Company is organized into three business segments: Publishing, Broadcasting and Merchandising. This combination enables it to cross-promote its content and products. Its Publishing segment consists of operations related to magazine and book publishing and digital distribution, mainly through its website, marthastewart.com. Its Broadcasting business segment consists of operations relating to the production of television programming, the domestic and international distribution of its library of programming in existing and repurposed formats. Its Merchandising segment consists of operations related to the design of merchandise and related packaging, collateral and advertising materials, and the licensing of various proprietary trademarks in connection with retail programs conducted through a number of retailers and manufacturers. The Company generally owns the copyrights in the programs it produce for television and radio distribution. In 2013, Martha Stewart's Cooking School season 2 and Martha Bakes seasons 1 and 2 aired on PBS. On January 31, 2013, the Company entered into a new two-year agreement with Sirius XM Radio to produce approximately 10 hours of original programming each week. This agreement with Sirius XM Radio replaces its historical Martha Stewart Living Radio channel with a daily radio show hosted by Martha Stewart, and other MSLO talent, on SiriusXM Stars. In 2010, the Company launched the Martha Stewart Living product line at The Home Depot, which is currently available at all of The Home Depots stores in the United States and Canada, as well as on homedepot.com and Home Decorators Collection catalog business. It competes with the internet businesses of the stores and other websites that sell similar retail goods.

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