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.
Loomis AB's Sloan Ratio for the quarter that ended in Dec. 2023 was 1.50%.
As of Dec. 2023, Loomis AB has a Sloan Ratio of 1.50%, indicating the company is in the safe zone and there is no funny business with accruals.
Loomis AB Sloan Ratio % Historical Data
The historical data trend for Loomis AB'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 Loomis AB's Sloan Ratio %
For the Security & Protection Services subindustry, Loomis AB'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.
Loomis AB's Sloan Ratio % Distribution in the Business Services Industry
For the Business Services industry and Industrials sector, Loomis AB's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Loomis AB's Sloan Ratio % falls into.
Loomis AB 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.
Loomis AB's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as
Loomis AB's Net Income for the trailing twelve months (TTM) ended in Dec. 2023 was 403 (Mar. 2023 ) + 357 (Jun. 2023 ) + 421 (Sep. 2023 ) + 314 (Dec. 2023 ) = kr1,495 Mil.
Loomis AB's Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2023 was 1279 (Mar. 2023 ) + 605 (Jun. 2023 ) + 1014 (Sep. 2023 ) + 1929 (Dec. 2023 ) = kr4,827 Mil.
Loomis AB's Cash Flow from Investing for the trailing twelve months (TTM) ended in Dec. 2023 was -584 (Mar. 2023 ) + -507 (Jun. 2023 ) + -576 (Sep. 2023 ) + -2209 (Dec. 2023 ) = kr-3,876 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.
Loomis AB (OSTO:LOOMIS) 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, Loomis AB has a Sloan Ratio of 1.50%, indicating the company is in the safe zone and there is no funny business with accruals.
Loomis AB Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of Loomis AB's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
Loomis AB is a Sweden-based company primarily engaged in cash handling services, which include cash in transit, or CIT, and cash management services, or CMS. CIT involves transporting cash to and from stores, banks and ATMs. CMS involves moving cash from customers to Loomis' cash centers where Loomis counts and packages bills and coins with quality assurance. CMS also involves cash flow analyzing, forecasting, and reporting, as well as other customized solutions. Besides CIT and CMS, Loomis also provides cross-border transportation services and general cargo services. Its segments are Europe, the United States, and Loomis Pay.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
OSTO:LOOMIS has been successfully added to your 