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.
Indigo Star Holdings's Sloan Ratio for the quarter that ended in Jun. 2024 was 0.00%.
As of Jun. 2024, Indigo Star Holdings has a Sloan Ratio of 0.00%, indicating the company is in the safe zone and there is no funny business with accruals.
Indigo Star Holdings Sloan Ratio % Historical Data
The historical data trend for Indigo Star Holdings's Sloan Ratio % can be seen below:
* 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 Indigo Star Holdings's Sloan Ratio %
For the Engineering & Construction subindustry, Indigo Star Holdings'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.
Indigo Star Holdings's Sloan Ratio % Distribution in the Construction Industry
For the Construction industry and Industrials sector, Indigo Star Holdings's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Indigo Star Holdings'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.
Indigo Star Holdings's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as
Indigo Star Holdings's Net Income for the trailing twelve months (TTM) ended in Jun. 2024 was 2.124 (Jun. 2023 ) + 8.984 (Sep. 2023 ) + -6.168 (Dec. 2023 ) + 0 (Jun. 2024 ) = HK$4.9 Mil.
Indigo Star Holdings's Cash Flow from Operations for the trailing twelve months (TTM) ended in Jun. 2024 was 0 (Jun. 2023 ) + 0 (Sep. 2023 ) + 0 (Dec. 2023 ) + 0 (Jun. 2024 ) = HK$0.0 Mil.
Indigo Star Holdings's Cash Flow from Investing for the trailing twelve months (TTM) ended in Jun. 2024 was 0 (Jun. 2023 ) + 0 (Sep. 2023 ) + 0 (Dec. 2023 ) + 0 (Jun. 2024 ) = HK$0.0 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.
Indigo Star Holdings (HKSE:08373) 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, Indigo Star Holdings has a Sloan Ratio of 0.00%, indicating the company is in the safe zone and there is no funny business with accruals.
Indigo Star Holdings Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of Indigo Star Holdings's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
Indigo Star Holdings Ltd is a subcontractor specializing in providing reinforced concrete works. The company offers structural reinforced and concrete works in general building and civil engineering works. It offers steel reinforcement works, formwork erection, and concrete works. It provides such services either individually or as a total package comprising all three, depending on the requirements of the customers. The group is involved in different types of general building and civil engineering projects, which include residential housing, offices, commercial, industrial, and institutional developments, special purpose constructions, MRT stations, and infrastructure. It has two segments Construction contract and Sales of tiles. All its revenue is derived from Singapore.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
HKSE:08373 has been successfully added to your 