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.
Etron Technology's Sloan Ratio for the quarter that ended in Sep. 2024 was -10.07%.
As of Sep. 2024, Etron Technology has a Sloan Ratio of -10.07%, indicating there is a warning stage of accrual build up.
Etron Technology Sloan Ratio % Historical Data
The historical data trend for Etron Technology'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 Etron Technology's Sloan Ratio %
For the Semiconductor Equipment & Materials subindustry, Etron Technology'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.
Etron Technology's Sloan Ratio % Distribution in the Semiconductors Industry
For the Semiconductors industry and Technology sector, Etron Technology's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Etron Technology's Sloan Ratio % falls into.
Etron Technology 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.
Etron Technology's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as
Etron Technology's Net Income for the trailing twelve months (TTM) ended in Sep. 2024 was -257.762 (Dec. 2023 ) + -189.866 (Mar. 2024 ) + -112.234 (Jun. 2024 ) + -104.792 (Sep. 2024 ) = NT$-665 Mil.
Etron Technology's Cash Flow from Operations for the trailing twelve months (TTM) ended in Sep. 2024 was 70.669 (Dec. 2023 ) + 43.666 (Mar. 2024 ) + 49.972 (Jun. 2024 ) + 24.824 (Sep. 2024 ) = NT$189 Mil.
Etron Technology's Cash Flow from Investing for the trailing twelve months (TTM) ended in Sep. 2024 was 30.261 (Dec. 2023 ) + -105.106 (Mar. 2024 ) + -31.398 (Jun. 2024 ) + -32.488 (Sep. 2024 ) = NT$-139 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.
Etron Technology (ROCO:5351) 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 Sep. 2024, Etron Technology has a Sloan Ratio of -10.07%, indicating there is a warning stage of accrual build up.
Etron Technology Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of Etron Technology's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
Etron Technology Inc is engaged in the design, manufacturing, and sale of niche memory chips. It is an integrated circuit and product company. Etron specializes in producing buffer memory and system-on-chips. Its product portfolio consists of Memory ICs that include Commercial DRAM, Industrial DRAM, Automotive DRAM, Known Good Die, Innovative DRAM, Flash, Logic ICs, USB 3D Sensing, and Logic ICs including USB, and 3D Sensing. Its geographic segments are Taiwan, Hong Kong, Mainland China, and Others. Its applications are Commercial Related Automotive Related, and Industrial Related. It generates the majority of its revenue from Taiwan.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
ROCO:5351 has been successfully added to your 