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.
PanAsialum Holdings Co's Sloan Ratio for the quarter that ended in Dec. 2024 was -0.85%.
As of Dec. 2024, PanAsialum Holdings Co has a Sloan Ratio of -0.85%, indicating the company is in the safe zone and there is no funny business with accruals.
PanAsialum Holdings 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.
Competitive Comparison of PanAsialum Holdings Co's Sloan Ratio %
For the Aluminum subindustry, PanAsialum Holdings 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.
PanAsialum Holdings Co's Sloan Ratio % Distribution in the Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, PanAsialum Holdings Co's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where PanAsialum Holdings Co's Sloan Ratio % falls into.
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.
PanAsialum Holdings Co's Sloan Ratio for the fiscal year that ended in Dec. 2024 is calculated as
For company reported semi-annually, GuruFocus uses latest two semi-annual data as the TTM data.
PanAsialum Holdings Co's Net Income for the trailing twelve months (TTM) ended in Dec. 2024 was 5.896 (Jun. 2024 ) + 22.185 (Dec. 2024 ) = HK$28.1 Mil.
PanAsialum Holdings Co's Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2024 was 109.742 (Jun. 2024 ) + -68.594 (Dec. 2024 ) = HK$41.1 Mil.
PanAsialum Holdings Co's Cash Flow from Investing for the trailing twelve months (TTM) ended in Dec. 2024 was 31.153 (Jun. 2024 ) + -32.263 (Dec. 2024 ) = HK$-1.1 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.
PanAsialum Holdings Co (HKSE:02078) 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. 2024, PanAsialum Holdings Co has a Sloan Ratio of -0.85%, indicating the company is in the safe zone and there is no funny business with accruals.
PanAsialum Holdings Co Sloan Ratio % Related Terms
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PanAsialum Holdings Co Ltd is an Investment holding company engaged in the manufacture and sale of aluminum products. Its products include the Radiator series, Solar frame series, Motor car skirt board and auto parts, Electronic product accessories series, Railing series, and Door and Window series. Its segment includes the manufacture and trading of aluminum products and, investment properties. It generates the majority of its revenue from aluminum products. Geographically, it derives the majority revenue from Southeast Asia and also has an operation in PRC, Australia and Other countries.
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