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 Sep. 2021, Loral Spacemmunications has a Sloan Ratio of 0.00%, indicating the company is in the safe zone and there is no funny business with accruals.
Loral Spacemmunications 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 Loral Spacemmunications's Sloan Ratio %
For the Telecom Services subindustry, Loral Spacemmunications'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.
Loral Spacemmunications's Sloan Ratio % Distribution in the Telecommunication Services Industry
For the Telecommunication Services industry and Communication Services sector, Loral Spacemmunications's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Loral Spacemmunications's Sloan Ratio % falls into.
Loral Spacemmunications 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.
Loral Spacemmunications's Sloan Ratio for the fiscal year that ended in Dec. 2020 is calculated as
Loral Spacemmunications's Net Income for the trailing twelve months (TTM) ended in Sep. 2021 was 73.732 (Dec. 2020 ) + 25.801 (Mar. 2021 ) + 17.838 (Jun. 2021 ) + -21.427 (Sep. 2021 ) = €95.94 Mil.
Loral Spacemmunications's Cash Flow from Operations for the trailing twelve months (TTM) ended in Sep. 2021 was -4.403 (Dec. 2020 ) + -5.184 (Mar. 2021 ) + -1.85 (Jun. 2021 ) + -2.758 (Sep. 2021 ) = €-14.20 Mil.
Loral Spacemmunications's Cash Flow from Investing for the trailing twelve months (TTM) ended in Sep. 2021 was 0 (Dec. 2020 ) + 0 (Mar. 2021 ) + 0 (Jun. 2021 ) + 0 (Sep. 2021 ) = €0.00 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.
Loral Spacemmunications (FRA:1L8) 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. 2021, Loral Spacemmunications has a Sloan Ratio of 0.00%, indicating the company is in the safe zone and there is no funny business with accruals.
Loral Spacemmunications Sloan Ratio % Related Terms
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Loral Spacemmunications (FRA:1L8) Business Description
Loral Space & Communications Inc is a provider of satellite-based communications services. The firm generates revenue from two main sources: broadcast services and enterprise services. The former includes video distribution and contribution for broadcasters and cable networks. The latter offers telecommunication carrier and integrator services, two-way Internet services, and maritime and aeronautical services for carriers, and communications providers. A large majority of the firm's revenue is generated in the United States and Canada, with the rest coming from Latin America, Europe, and the Middle East and Africa.
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