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.
Tibet Aim Pharm's Sloan Ratio for the quarter that ended in Mar. 2025 was -2.55%.
As of Mar. 2025, Tibet Aim Pharm has a Sloan Ratio of -2.55%, indicating the company is in the safe zone and there is no funny business with accruals.
Tibet Aim Pharm Sloan Ratio % Historical Data
The historical data trend for Tibet Aim Pharm'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 Tibet Aim Pharm's Sloan Ratio %
For the Drug Manufacturers - Specialty & Generic subindustry, Tibet Aim Pharm'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.
Tibet Aim Pharm's Sloan Ratio % Distribution in the Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Tibet Aim Pharm's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Tibet Aim Pharm'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.
Tibet Aim Pharm's Sloan Ratio for the fiscal year that ended in Dec. 2024 is calculated as
Tibet Aim Pharm's Net Income for the trailing twelve months (TTM) ended in Mar. 2025 was 11.747 (Jun. 2024 ) + 2.173 (Sep. 2024 ) + 4.109 (Dec. 2024 ) + 18.794 (Mar. 2025 ) = ¥36.8 Mil.
Tibet Aim Pharm's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2025 was -7.607 (Jun. 2024 ) + 67.706 (Sep. 2024 ) + -2.265 (Dec. 2024 ) + 30.866 (Mar. 2025 ) = ¥88.7 Mil.
Tibet Aim Pharm's Cash Flow from Investing for the trailing twelve months (TTM) ended in Mar. 2025 was 17.489 (Jun. 2024 ) + -31.077 (Sep. 2024 ) + 187.066 (Dec. 2024 ) + -200.163 (Mar. 2025 ) = ¥-26.7 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.
Tibet Aim Pharm (SZSE:002826) 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. 2025, Tibet Aim Pharm has a Sloan Ratio of -2.55%, indicating the company is in the safe zone and there is no funny business with accruals.
Tibet Aim Pharm Sloan Ratio % Related Terms
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Tibet Aim Pharm Inc is the pharmaceutical company based in China. It is mainly engaged in the research and development, production and sales of chemical drugs and proprietary Chinese medicines for common chronic diseases such as diabetes and cardiovascular disease as well as medicines for gynecology and obstetrics. The company's products offering includes miglitol tablets, gualoupi injection, nalmefene hydrochloride injection, carbetocin injection; hongjin xiaojie tablets and aceclofenac enteric-coated tablets. The company also expanded its products in the treatment of antibiotic, antiallergic and digestive system.
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