Limitless Earth (LSE:LME) Sloan Ratio % : 0.00% (As of Jul. 2023)

View and export this data going back to 2014. Start your Free Trial

What is Limitless Earth Sloan Ratio %?

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.

Limitless Earth's Sloan Ratio for the quarter that ended in Jul. 2023 was 0.00%.

Warning Sign:

When sloan ratio (-37.09)% higher than 25% or lower than -25%, earnings are more likely to be made up of accruals.

As of Jul. 2023, Limitless Earth has a Sloan Ratio of 0.00%, indicating the company is in the safe zone and there is no funny business with accruals.

Limitless Earth Sloan Ratio % Historical Data

The historical data trend for Limitless Earth'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.

* Premium members only.

Limitless Earth Sloan Ratio % Chart

Limitless Earth Annual Data

Trend

Jan14

Jan15

Jan16

Jan17

Jan18

Jan19

Jan20

Jan21

Jan22

Jan23

Sloan Ratio %

Get a 7-Day Free Trial

3.91

4.23

2.70

-21.45

-37.09

Limitless Earth Semi-Annual Data
	Jul14	Jan15	Jul15	Jan16	Jul16	Jan17	Jul17	Jan18	Jul18	Jan19	Jul19	Jan20	Jul20	Jan21	Jul21	Jan22	Jul22	Jan23	Jul23
Sloan Ratio %	Get a 7-Day Free Trial														-5.12	-21.39	-23.79	-37.17	-

Competitive Comparison of Limitless Earth's Sloan Ratio %

For the Asset Management subindustry, Limitless Earth'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.

Limitless Earth's Sloan Ratio % Distribution in the Asset Management Industry

For the Asset Management industry and Financial Services sector, Limitless Earth's Sloan Ratio % distribution charts can be found below:

* The bar in red indicates where Limitless Earth's Sloan Ratio % falls into.

Limitless Earth 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.

Limitless Earth's Sloan Ratio for the fiscal year that ended in Jan. 2023 is calculated as

Sloan Ratio	=	(Net Income (A: Jan. 2023 )	-	Cash Flow from Operations (A: Jan. 2023 )
	-	Cash Flow from Investing (A: Jan. 2023 ))	/	Total Assets (A: Jan. 2023 )
	=	(-0.476	-	-0.463
	-	0.451)	/	1.251
	=	-37.09%

Limitless Earth's Sloan Ratio for the quarter that ended in Jul. 2023 is calculated as

Sloan Ratio	=	(Net Income (TTM)	-	Cash Flow from Operations (TTM))
	-	Cash Flow from Investing (TTM))	/	Total Assets (Q: Jul. 2023 )
	=	(-0.524	-	-0.441
	-	0.311)	/	1.282
	=	-30.73%

For company reported semi-annually, GuruFocus uses latest two semi-annual data as the TTM data. Limitless Earth's Net Income for the trailing twelve months (TTM) ended in Jul. 2023 was -0.414 (Jan. 2023 ) + -0.11 (Jul. 2023 ) = £-0.52 Mil.
Limitless Earth's Cash Flow from Operations for the trailing twelve months (TTM) ended in Jul. 2023 was -0.353 (Jan. 2023 ) + -0.088 (Jul. 2023 ) = £-0.44 Mil.
Limitless Earth's Cash Flow from Investing for the trailing twelve months (TTM) ended in Jul. 2023 was 0.311 (Jan. 2023 ) + 0 (Jul. 2023 ) = £0.31 Mil.

Limitless Earth (LSE:LME) 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.

According to How to Beat the Market with the Sloan Ratio:

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 Jul. 2023, Limitless Earth has a Sloan Ratio of 0.00%, indicating the company is in the safe zone and there is no funny business with accruals.

Limitless Earth Sloan Ratio % Related Terms

Thank you for viewing the detailed overview of Limitless Earth's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.

Limitless Earth (LSE:LME) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Financial Services » Asset Management » Limitless Earth PLC (LSE:LME) » Definitions » Sloan Ratio %

Comparable Companies

Traded in Other Exchanges

N/A

Address

Northside House, Mount Pleasant, Suite 2, Barnet, Hertfordshire, GBR, EN4 9EB

Website

https://www.limitlessearthplc.com

Limitless Earth PLC is an investment company. The company intends to focus initially on projects located in Europe but will also consider investments in other geographical regions. The company has one operating segment, which is the investment in companies or assets in the natural resources, agribusiness sectors & information technology, and blockchain sectors.

Limitless Earth (LSE:LME) Headlines

No Headlines