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.
VinFast Auto's Sloan Ratio for the quarter that ended in Mar. 2026 was -19.44%.
As of Mar. 2026, VinFast Auto has a Sloan Ratio of -19.44%, indicating there is a warning stage of accrual build up.
VinFast Auto (NAS:VFS) 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 Mar. 2026, VinFast Auto has a Sloan Ratio of -19.44%, indicating there is a warning stage of accrual build up.
VinFast Auto Sloan Ratio % Related Terms
VinFast Auto Sloan Ratio % Historical Data
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The historical data trend for VinFast Auto'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.
For the Auto Manufacturers subindustry, VinFast Auto'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.
VinFast Auto Sloan Ratio % vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, VinFast Auto's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where VinFast Auto'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.
VinFast Auto's Sloan Ratio for the fiscal year that ended in Dec. 2025 is calculated as
VinFast Auto's Net Income for the trailing twelve months (TTM) ended in Mar. 2026 was -772.622 (Jun. 2025 ) + -910.926 (Sep. 2025 ) + -1423.995 (Dec. 2025 ) + -1067.121 (Mar. 2026 ) = $-4,175 Mil.
VinFast Auto's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2026 was -441.165 (Jun. 2025 ) + -425.391 (Sep. 2025 ) + -250.603 (Dec. 2025 ) + -507.773 (Mar. 2026 ) = $-1,625 Mil.
VinFast Auto's Cash Flow from Investing for the trailing twelve months (TTM) ended in Mar. 2026 was -290.947 (Jun. 2025 ) + -257.726 (Sep. 2025 ) + -418.932 (Dec. 2025 ) + -212.983 (Mar. 2026 ) = $-1,181 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.
VinFast Auto (VFS) has a Sloan Ratio % of -19.44% as of Mar. 2026. Sloan ratio measures earnings quality based on the amount of accruals. View historical data on VinFast Auto and its competitors.
Is VinFast Auto's Sloan Ratio % too high?
VinFast Auto's current Sloan Ratio % is -19.44%. Overall, VinFast Auto has a GF Score™ of 44/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does VinFast Auto's Sloan Ratio % compare to XPEV and LCID?
VinFast Auto's Sloan Ratio % of -19.44% can be compared against companies in the Vehicles & Parts industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Sloan Ratio % for a Vehicles & Parts company?
A good Sloan Ratio % depends on the Vehicles & Parts industry context. However, Sloan Ratio % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Sloan Ratio % mean?
A high Sloan Ratio % can signal that a stock is expensive relative to its fundamentals. Sloan ratio measures earnings quality based on the amount of accruals. View historical data on VinFast Auto and its competitors. VinFast Auto's current Sloan Ratio % is -19.44%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is VinFast Auto stock overvalued right now?
Based on GuruFocus' analysis, VinFast Auto (VFS) is currently considered Possible Value Trap. The stock's GF Value™ is $12.09, compared to a current price of $3.04 — trading 74.9% below its estimated fair value. The current Sloan Ratio % is -19.44%. VinFast Auto's overall GF Score™ is 44/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Sloan Ratio % calculated?
Sloan Ratio % is calculated from a company's financial statements. For VinFast Auto (VFS), the current Sloan Ratio % is -19.44% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is VinFast Auto (VFS) Overvalued in 2026?
Based on GuruFocus' analysis, VinFast Auto stock appears to be undervalued.
The current stock price of $3.04 is trading 74.9% below its estimated GF Value™ of $12.09.
GuruFocus considers VinFast Auto to be Possible Value Trap.
Key valuation signals for VFS:
Sloan Ratio %: -19.44%
GF Value™: $12.09 vs. price of $3.04 (74.9% below fair value)
No single metric tells the full story. See the VFS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
VinFast Auto Ltd manufactures cars, and motor vehicles, renders leasing activities, trades smartphones, and related businesses. The company is engaged in designing and manufacturing premium EVs, e-scooters, and e-buses. The company's initial EV product line is an all-new range of fully electric A- through E-segment SUVs. The Company has three reportable segments, namely Car, E-scooter and Ebus. The Car segment includes the design, development, manufacturing and sales of cars and related battery lease and battery charging services for cars. The E-scooter segment includes the design, development, manufacturing and sales of e-scooters and related battery lease and battery charging service for e-scooters. The Ebus segment includes the design, development, manufacturing and sales of Ebus.
44GF Score
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