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.
Minebea Mitsumi's Sloan Ratio for the quarter that ended in Dec. 2023 was 2.00%.
As of Dec. 2023, Minebea Mitsumi has a Sloan Ratio of 2.00%, indicating the company is in the safe zone and there is no funny business with accruals.
Minebea Mitsumi Sloan Ratio % Historical Data
The historical data trend for Minebea Mitsumi'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.
Competitive Comparison of Minebea Mitsumi's Sloan Ratio %
For the Electronic Components subindustry, Minebea Mitsumi'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.
Minebea Mitsumi's Sloan Ratio % Distribution in the Hardware Industry
For the Hardware industry and Technology sector, Minebea Mitsumi's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Minebea Mitsumi's Sloan Ratio % falls into.
Minebea Mitsumi 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.
Minebea Mitsumi's Sloan Ratio for the fiscal year that ended in Mar. 2023 is calculated as
Minebea Mitsumi's Net Income for the trailing twelve months (TTM) ended in Dec. 2023 was 254.241 (Mar. 2023 ) + 25.899 (Jun. 2023 ) + 107.937 (Sep. 2023 ) + 102.471 (Dec. 2023 ) = $491 Mil.
Minebea Mitsumi's Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2023 was 277 (Mar. 2023 ) + 238.147 (Jun. 2023 ) + -47.78 (Sep. 2023 ) + 258.367 (Dec. 2023 ) = $726 Mil.
Minebea Mitsumi's Cash Flow from Investing for the trailing twelve months (TTM) ended in Dec. 2023 was 47.814 (Mar. 2023 ) + -125.249 (Jun. 2023 ) + -193.446 (Sep. 2023 ) + -158.868 (Dec. 2023 ) = $-430 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.
Minebea Mitsumi (OTCPK:MNBEY) 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 Dec. 2023, Minebea Mitsumi has a Sloan Ratio of 2.00%, indicating the company is in the safe zone and there is no funny business with accruals.
Minebea Mitsumi Sloan Ratio % Related Terms
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Minebea Mitsumi (Minebea Mitsumi) Business Description
Minebea Mitsumi Inc is an electronic components company. Its operating segments are Machined components, Electronic devices and components and MITSUMI business. The machined components segment manufactures mechanical parts including ball bearings, rod-end bearings, pivot assemblies for hard disk drive (HDD), and screws for automobiles and aircrafts. The electronic devices and components segment manufactures electronic devices (such as LED backlights and sensing devices), HDD spindle motors, stepping motors, DC motors, air movers (fan motors), precision motors and specialized devices. And The MITSUMI business segment manufactures semiconductor devices, optical devices, mechanical parts, high-frequency components, and power supply parts.
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