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MFA Financial (MFA Financial) Sloan Ratio %

: 14.12% (As of Dec. 2023)
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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.

MFA Financial's Sloan Ratio for the quarter that ended in Dec. 2023 was 14.12%.

As of Dec. 2023, MFA Financial has a Sloan Ratio of 14.12%, indicating there is a warning stage of accrual build up.


MFA Financial Sloan Ratio % Historical Data

The historical data trend for MFA Financial'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.

MFA Financial Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Sloan Ratio %
Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 9.56 -102.44 25.99 5.81 14.12

MFA Financial Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Sloan Ratio % 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 Premium Member Only Premium Member Only Premium Member Only 5.81 4.18 8.71 12.02 14.12

Competitive Comparison

For the REIT - Mortgage subindustry, MFA Financial'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.


MFA Financial Sloan Ratio % Distribution

For the REITs industry and Real Estate sector, MFA Financial's Sloan Ratio % distribution charts can be found below:

* The bar in red indicates where MFA Financial's Sloan Ratio % falls into.



MFA Financial 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.

MFA Financial's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as

Sloan Ratio=(Net Income (A: Dec. 2023 )-Cash Flow from Operations (A: Dec. 2023 )
-Cash Flow from Investing (A: Dec. 2023 ))/Total Assets (A: Dec. 2023 )
=(80.164-108.739
--1549.59)/10772.69
=14.12%

MFA Financial's Sloan Ratio for the quarter that ended in Dec. 2023 is calculated as

Sloan Ratio=(Net Income (TTM)-Cash Flow from Operations (TTM))
-Cash Flow from Investing (TTM))/Total Assets (Q: Dec. 2023 )
=(80.164-108.739
--1549.59)/10772.69
=14.12%

MFA Financial's Net Income for the trailing twelve months (TTM) ended in Dec. 2023 was 72.784 (Mar. 2023 ) + -25.928 (Jun. 2023 ) + -56.438 (Sep. 2023 ) + 89.746 (Dec. 2023 ) = $80.2 Mil.
MFA Financial's Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2023 was -12.668 (Mar. 2023 ) + 77.795 (Jun. 2023 ) + 39.795 (Sep. 2023 ) + 3.817 (Dec. 2023 ) = $108.7 Mil.
MFA Financial's Cash Flow from Investing for the trailing twelve months (TTM) ended in Dec. 2023 was -142.102 (Mar. 2023 ) + -550.114 (Jun. 2023 ) + -548.164 (Sep. 2023 ) + -309.21 (Dec. 2023 ) = $-1,549.6 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.


MFA Financial  (NYSE:MFA) 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 Dec. 2023, MFA Financial has a Sloan Ratio of 14.12%, indicating there is a warning stage of accrual build up.


MFA Financial Sloan Ratio % Related Terms

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MFA Financial (MFA Financial) Business Description

Traded in Other Exchanges
Address
One Vanderbilt Avenue, 48th Floor, New York, NY, USA, 10017
MFA Financial Inc is a specialty finance company that invests in and finances residential mortgage assets. Its principal business objective is to deliver shareholder value through the generation of distributable income and through asset performance linked to residential mortgage credit fundamentals. The company selectively invests in residential mortgage assets with a focus on credit analysis, projected prepayment rates, interest rate sensitivity and expected return. The company is an internally managed real estate investment trust or REIT.
Executives
Starwood Capital Group Global Ii, L.p. 10 percent owner 591 WEST PUTNAM AVENUE, GREENWICH CT 06830
Michael Charles Roper officer: SVP & Chief Accounting Ofcr C/O MFA FINANCIAL, INC., ONE VANDERBILT AVENUE - 48TH FLOOR, NEW YORK NY 10017
Bryan Wulfsohn officer: Senior Vice President 350 PARK AVENUE, 20TH FLOOR, NEW YORK NY 10022
Craig L Knutson director, officer: Executive Vice President C/O MFA MORTGAGE INVESTMENTS, INC., 350 PARK AVENUE, 21ST FLOOR, NEW YORK NY 10022
Stephen D. Yarad officer: Chief Financial Officer 350 PARK AVENUE, 21ST FLOOR, NEW YORK NY 10022
Robin Josephs director
Mei Lin officer: Sr. VP & Co-Controller C/O MFA FINANCIAL, INC., ONE VANDERBILT AVENUE - 48TH FLOOR, NEW YORK NY 10017
Ssf U.s. Investco, L.p. 10 percent owner C/O STARWOOD CAPITAL GROUP GLOBAL II, LP, 591 WEST PUTNAM AVENUE, GREENWICH CT 06830
Scgg Ii Gp, L.l.c. 10 percent owner 1601 WASHINGTON AVENUE, SUITE 800, MIAMI BEACH FL 33139
Starwood Capital Group Holdings Gp, L.l.c. 10 percent owner 1601 WASHINGTON AVENUE, SUITE 800, MIAMI BEACH FL 33139
Bss Scg Gp Holdings, Llc 10 percent owner 1601 WASHINGTON AVENUE, SUITE 800, MIAMI BEACH FL 33139
Ssf U.s. Investco C, L.p. 10 percent owner C/O STARWOOD CAPITAL GROUP GLOBAL II, LP, 591 WEST PUTNAM AVENUE, GREENWICH CT 06830
Ssf U.s. Investco K, L.p. 10 percent owner C/O STARWOOD CAPITAL GROUP GLOBAL II, LP, 591 WEST PUTNAM AVENUE, GREENWICH CT 06830
Sar Public Holdings Ii, L.l.c. 10 percent owner 591 WEST PUTNAM AVENUE, GREENWICH CT 06830
Ssf U.s. Investco S, L.p. 10 percent owner 591 WEST PUTNAM AVENUE, GREENWICH CT 06830