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.
Hafary Holdings's Sloan Ratio for the quarter that ended in Jun. 2024 was 5.28%.
As of Jun. 2024, Hafary Holdings has a Sloan Ratio of 5.28%, indicating the company is in the safe zone and there is no funny business with accruals.
Hafary Holdings Sloan Ratio % Historical Data
The historical data trend for Hafary Holdings'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 Hafary Holdings's Sloan Ratio %
For the Building Products & Equipment subindustry, Hafary Holdings'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.
Hafary Holdings's Sloan Ratio % Distribution in the Construction Industry
For the Construction industry and Industrials sector, Hafary Holdings's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Hafary Holdings's Sloan Ratio % falls into.
Hafary Holdings 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.
Hafary Holdings's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as
For company reported semi-annually, GuruFocus uses latest two semi-annual data as the TTM data.
Hafary Holdings's Net Income for the trailing twelve months (TTM) ended in Jun. 2024 was 23.302 (Dec. 2023 ) + 10.184 (Jun. 2024 ) = S$33.5 Mil.
Hafary Holdings's Cash Flow from Operations for the trailing twelve months (TTM) ended in Jun. 2024 was 25.474 (Dec. 2023 ) + -4.528 (Jun. 2024 ) = S$20.9 Mil.
Hafary Holdings's Cash Flow from Investing for the trailing twelve months (TTM) ended in Jun. 2024 was -6.563 (Dec. 2023 ) + -7.28 (Jun. 2024 ) = S$-13.8 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.
Hafary Holdings (SGX:5VS) 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 Jun. 2024, Hafary Holdings has a Sloan Ratio of 5.28%, indicating the company is in the safe zone and there is no funny business with accruals.
Hafary Holdings Sloan Ratio % Related Terms
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Hafary Holdings Ltd is engaged in the production and distribution of premium tiles, stone, mosaic, wood flooring, quartz top, sanitary ware, and fittings. The company is organized into segments such as; the General segment which is specially designed as per the requirement of small property developers which contributes a major part of revenue. Project segment is majorly designed as the requirement of customers who are involved in property development projects. Manufacturing segment includes manufacturing of ceramic tiles that cater to the customers' requirements and specifications. Others segment that engage in investing activities including net rental collected from properties. Most of its revenue is earned through the Singapore market.
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