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.
Koil Energy Solutions's Sloan Ratio for the quarter that ended in Dec. 2023 was -8.97%.
As of Dec. 2023, Koil Energy Solutions has a Sloan Ratio of -8.97%, indicating the company is in the safe zone and there is no funny business with accruals.
Koil Energy Solutions Sloan Ratio % Historical Data
The historical data trend for Koil Energy Solutions'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 Koil Energy Solutions's Sloan Ratio %
For the Oil & Gas Equipment & Services subindustry, Koil Energy Solutions'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.
Koil Energy Solutions's Sloan Ratio % Distribution in the Oil & Gas Industry
For the Oil & Gas industry and Energy sector, Koil Energy Solutions's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Koil Energy Solutions's Sloan Ratio % falls into.
Koil Energy Solutions 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.
Koil Energy Solutions's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as
Koil Energy Solutions's Net Income for the trailing twelve months (TTM) ended in Dec. 2023 was -0.097 (Mar. 2023 ) + -0.433 (Jun. 2023 ) + -0.143 (Sep. 2023 ) + -0.881 (Dec. 2023 ) = $-1.55 Mil.
Koil Energy Solutions's Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2023 was -0.674 (Mar. 2023 ) + 0.912 (Jun. 2023 ) + -0.971 (Sep. 2023 ) + 0.936 (Dec. 2023 ) = $0.20 Mil.
Koil Energy Solutions's Cash Flow from Investing for the trailing twelve months (TTM) ended in Dec. 2023 was -0.078 (Mar. 2023 ) + -0.002 (Jun. 2023 ) + -0.148 (Sep. 2023 ) + 0.002 (Dec. 2023 ) = $-0.23 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.
Koil Energy Solutions (OTCPK:KLNG) 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. 2023, Koil Energy Solutions has a Sloan Ratio of -8.97%, indicating the company is in the safe zone and there is no funny business with accruals.
Koil Energy Solutions Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of Koil Energy Solutions's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
Koil Energy Solutions (Koil Energy Solutions) Business Description
Koil Energy Solutions Inc is an energy services company that provides equipment and support services to the world's energy and offshore industries. Its core services and technological solutions include distribution system installation support and engineering services, umbilical terminations, loose-tube steel flying leads, and related services. Additionally, its team can support subsea engineering, manufacturing, installation, commissioning, and maintenance projects. Its products include Buoyancy Solutions, Flying Leads, Storage, and Transportation, Subsea Fluid and Power Distribution, and Umbilical Termination Solutions.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
KLNG has been successfully added to your 