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.
* 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 Navidea Biopharmaceuticals's Sloan Ratio %
For the Biotechnology subindustry, Navidea Biopharmaceuticals'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.
Navidea Biopharmaceuticals's Sloan Ratio % Distribution in the Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Navidea Biopharmaceuticals's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Navidea Biopharmaceuticals's Sloan Ratio % falls into.
Navidea Biopharmaceuticals 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.
Navidea Biopharmaceuticals's Net Income for the trailing twelve months (TTM) ended in Sep. 2023 was -3.483 (Dec. 2022 ) + -1.476 (Mar. 2023 ) + 6.032 (Jun. 2023 ) + -2.255 (Sep. 2023 ) = $-1.18 Mil.
Navidea Biopharmaceuticals's Cash Flow from Operations for the trailing twelve months (TTM) ended in Sep. 2023 was -2.433 (Dec. 2022 ) + -1.722 (Mar. 2023 ) + 4.69 (Jun. 2023 ) + -10.249 (Sep. 2023 ) = $-9.71 Mil.
Navidea Biopharmaceuticals's Cash Flow from Investing for the trailing twelve months (TTM) ended in Sep. 2023 was -0.072 (Dec. 2022 ) + -0.039 (Mar. 2023 ) + -0.065 (Jun. 2023 ) + -0.525 (Sep. 2023 ) = $-0.70 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.
Navidea Biopharmaceuticals (OTCPK:NAVB) 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 Sep. 2023, Navidea Biopharmaceuticals has a Sloan Ratio of 162.01%, indicating earnings are more likely to be made up of accruals.
Navidea Biopharmaceuticals Sloan Ratio % Related Terms
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Navidea Biopharmaceuticals (Navidea Biopharmaceuticals) Business Description
Navidea Biopharmaceuticals Inc is a biotechnology company specializied in precision medicine. Its products, precision immunodiagnostic agents and immunotherapeutic products are designed to assist in the identification of undetected diseases and to improve targeted treatment. The company's platform, known as Manocept technology, aims to develop next-generation targeted diagnostics and therapies for cancer, autoimmune conditions, and other inflammatory diseases. One of the company's products is Lymphoseek, a radioactive diagnostic agent indicated to locate lymph nodes.
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