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.
As of Mar. 2022, Intertape Polymer Group has a Sloan Ratio of 0.53%, indicating the company is in the safe zone and there is no funny business with accruals.
Intertape Polymer Group Sloan Ratio % Historical Data
* 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.
Competitive Comparison of Intertape Polymer Group's Sloan Ratio %
For the Packaging & Containers subindustry, Intertape Polymer Group'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.
Intertape Polymer Group's Sloan Ratio % Distribution in the Packaging & Containers Industry
For the Packaging & Containers industry and Consumer Cyclical sector, Intertape Polymer Group's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Intertape Polymer Group's Sloan Ratio % falls into.
Intertape Polymer Group 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.
Intertape Polymer Group's Sloan Ratio for the fiscal year that ended in Dec. 2021 is calculated as
Intertape Polymer Group's Net Income for the trailing twelve months (TTM) ended in Mar. 2022 was 14.338 (Jun. 2021 ) + 25.336 (Sep. 2021 ) + 9.087 (Dec. 2021 ) + -56.689 (Mar. 2022 ) = $-8 Mil.
Intertape Polymer Group's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2022 was 22.19 (Jun. 2021 ) + 42.612 (Sep. 2021 ) + 124.504 (Dec. 2021 ) + -55.842 (Mar. 2022 ) = $133 Mil.
Intertape Polymer Group's Cash Flow from Investing for the trailing twelve months (TTM) ended in Mar. 2022 was -16.299 (Jun. 2021 ) + -59.009 (Sep. 2021 ) + -33.923 (Dec. 2021 ) + -39.405 (Mar. 2022 ) = $-149 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.
Intertape Polymer Group (OTCPK:ITPOF) 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.
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 Mar. 2022, Intertape Polymer Group has a Sloan Ratio of 0.53%, indicating the company is in the safe zone and there is no funny business with accruals.
Intertape Polymer Group Sloan Ratio % Related Terms
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Intertape Polymer Group (Intertape Polymer Group) Business Description
Intertape Polymer Group Inc manufactures and sells a variety of packaging products. The firm's primary product categories include tapes, films, and woven coated fabrics. The company's tapes include pressure-sensitive and water-activated carton sealing tapes, and flatback, duct, double coated, foil, electrical, and filament tapes. Intertape's film products include stretch wrap, shrink film, air pillows used for protective packaging, and packaging machines. The woven coated fabrics include building and construction products and specialty fabrics. The majority of revenue comes from the United States.
Intertape Polymer Group (Intertape Polymer Group) Headlines
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