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 Jun. 2024, Sun King Technology Group has a Sloan Ratio of 8.65%, indicating the company is in the safe zone and there is no funny business with accruals.
Sun King Technology Group 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 Sun King Technology Group's Sloan Ratio %
For the Electronic Components subindustry, Sun King Technology Group'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.
Sun King Technology Group's Sloan Ratio % Distribution in the Hardware Industry
For the Hardware industry and Technology sector, Sun King Technology Group's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Sun King Technology Group's Sloan Ratio % falls into.
Sun King Technology Group 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.
Sun King Technology Group's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as
For company reported semi-annually, GuruFocus uses latest two semi-annual data as the TTM data.
Sun King Technology Group's Net Income for the trailing twelve months (TTM) ended in Jun. 2024 was 41.164 (Dec. 2023 ) + 36.303 (Jun. 2024 ) = HK$77 Mil.
Sun King Technology Group's Cash Flow from Operations for the trailing twelve months (TTM) ended in Jun. 2024 was 146.518 (Dec. 2023 ) + -249.03 (Jun. 2024 ) = HK$-103 Mil.
Sun King Technology Group's Cash Flow from Investing for the trailing twelve months (TTM) ended in Jun. 2024 was 0.5 (Dec. 2023 ) + -90.557 (Jun. 2024 ) = HK$-90 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.
Sun King Technology Group (HKSE:00580) 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. 2024, Sun King Technology Group has a Sloan Ratio of 8.65%, indicating the company is in the safe zone and there is no funny business with accruals.
Sun King Technology Group Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of Sun King Technology Group's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
Sun King Technology Group Ltd is an investment holding company engaged in the business of manufacturing and trading power electronic components. The products offered by the group are categorized into applied industries, namely, power transmission and distribution, electrified transportation and industrial, and others. Its product categories are Anode Saturable Reactors, ABB's Semiconductors, Power Quality Improved Equipment, Power Electronic Devices, Power Electronic Capacitors, Busbars, Digital IGBT Gate Units, Power Capacitors, Power Grid Status Monitoring, and Others. The group mainly operates in the PRC.
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