Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.
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.
Better Home & Finance Holding Co (NAS:BETR) 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 Jun. 2026, Better Home & Finance Holding Co has a Sloan Ratio of 15.90%, indicating earnings are more likely to be made up of accruals.
Better Home & Finance Holding Co Sloan Ratio % Related Terms
Better Home & Finance Holding Co 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.
Better Home & Finance Holding Co Sloan Ratio % Chart
For the Mortgage Finance subindustry, Better Home & Finance Holding Co'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.
Better Home & Finance Holding Co Sloan Ratio % vs Banks Industry
For the Banks industry and Financial Services sector, Better Home & Finance Holding Co's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Better Home & Finance Holding Co's Sloan Ratio % falls into.
Better Home & Finance Holding Co 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.
Better Home & Finance Holding Co's Net Income for the trailing twelve months (TTM) ended in Jun. 2026 was -39.125 (Sep. 2025 ) + -39.92 (Dec. 2025 ) + -70.311 (Mar. 2026 ) + -30.593 (Jun. 2026 ) = $-179.9 Mil.
Better Home & Finance Holding Co's Cash Flow from Operations for the trailing twelve months (TTM) ended in Jun. 2026 was 4.21 (Sep. 2025 ) + -57.27 (Dec. 2025 ) + -125.176 (Mar. 2026 ) + 23.466 (Jun. 2026 ) = $-154.8 Mil.
Better Home & Finance Holding Co's Cash Flow from Investing for the trailing twelve months (TTM) ended in Jun. 2026 was -207.562 (Sep. 2025 ) + -71.978 (Dec. 2025 ) + -11.593 (Mar. 2026 ) + 20.802 (Jun. 2026 ) = $-270.3 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.
Better Home & Finance Holding Co (BETR) has a Sloan Ratio % of 15.90% as of Jun. 2026. Sloan ratio measures earnings quality based on the amount of accruals. View historical data on Better Home & Finance Holding Co and its competitors.
Is Better Home & Finance Holding Co's Sloan Ratio % too high?
Better Home & Finance Holding Co's current Sloan Ratio % is 15.90%. Overall, Better Home & Finance Holding Co has a GF Score™ of 17/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Better Home & Finance Holding Co's Sloan Ratio % compare to ONIT and LDI?
Better Home & Finance Holding Co's Sloan Ratio % of 15.90% can be compared against companies in the Banks industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Sloan Ratio % for a Banks company?
A good Sloan Ratio % depends on the Banks industry context. However, Sloan Ratio % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Sloan Ratio % mean?
A high Sloan Ratio % can signal that a stock is expensive relative to its fundamentals. Sloan ratio measures earnings quality based on the amount of accruals. View historical data on Better Home & Finance Holding Co and its competitors. Better Home & Finance Holding Co's current Sloan Ratio % is 15.90%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Better Home & Finance Holding Co stock overvalued right now?
Based on GuruFocus' analysis, Better Home & Finance Holding Co (BETR) is currently considered Possible Value Trap. The stock's GF Value™ is $32.09, compared to a current price of $18.05 — trading 43.8% below its estimated fair value. The current Sloan Ratio % is 15.90%. Better Home & Finance Holding Co's overall GF Score™ is 17/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Sloan Ratio % calculated?
Sloan Ratio % is calculated from a company's financial statements. For Better Home & Finance Holding Co (BETR), the current Sloan Ratio % is 15.90% as of Jun. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Better Home & Finance Holding Co (BETR) Overvalued in 2026?
Based on GuruFocus' analysis, Better Home & Finance Holding Co stock appears to be undervalued.
The current stock price of $18.05 is trading 43.8% below its estimated GF Value™ of $32.09.
GuruFocus considers Better Home & Finance Holding Co to be Possible Value Trap.
Key valuation signals for BETR:
Sloan Ratio %: 15.90%
GF Value™: $32.09 vs. price of $18.05 (43.8% below fair value)
No single metric tells the full story. See the BETR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Better Home & Finance Holding Co is a technology-enabled homeownership company that provides mortgage, home equity, and related services through a digital platform. The company operates through two reportable segments: Home Finance, which focuses on residential mortgage origination, including purchase, refinance, and home equity products, generating revenue mainly from loan sales; and Banking, which, through its U.K. subsidiary Birmingham Bank, offers a range of financial products and services to consumers and small businesses. It generates the majority of its revenue from the Home Finance segment.
17GF Score
Get the complete analysis for BETR
Sloan Ratio % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
BETR has been successfully added to your 
