GURUFOCUS.COM » STOCK LIST » Technology » Software » Temenos AG (OTCPK:TMSNY) » Definitions » Sloan Ratio %

TMSNY (Temenos AG) Sloan Ratio % : -5.31% (As of Sep. 2024)


View and export this data going back to 2011. Start your Free Trial

What is Temenos AG Sloan Ratio %?

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.

Temenos AG's Sloan Ratio for the quarter that ended in Sep. 2024 was -5.31%.

As of Sep. 2024, Temenos AG has a Sloan Ratio of -5.31%, indicating the company is in the safe zone and there is no funny business with accruals.


Temenos AG Sloan Ratio % Historical Data

The historical data trend for Temenos AG'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.

* Premium members only.

Temenos AG Sloan Ratio % Chart

Temenos AG Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Sloan Ratio %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 22.10 -7.23 -6.95 -2.08 -4.82

Temenos AG Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Sloan Ratio % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -3.99 -4.82 -5.08 -6.03 -5.31

Competitive Comparison of Temenos AG's Sloan Ratio %

For the Software - Application subindustry, Temenos AG'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.


Temenos AG's Sloan Ratio % Distribution in the Software Industry

For the Software industry and Technology sector, Temenos AG's Sloan Ratio % distribution charts can be found below:

* The bar in red indicates where Temenos AG's Sloan Ratio % falls into.



Temenos AG 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.

Temenos AG's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as

Sloan Ratio=(Net Income (A: Dec. 2023 )-Cash Flow from Operations (A: Dec. 2023 )
-Cash Flow from Investing (A: Dec. 2023 ))/Total Assets (A: Dec. 2023 )
=(134.677-331.031
--84.192)/2326.841
=-4.82%

Temenos AG's Sloan Ratio for the quarter that ended in Sep. 2024 is calculated as

Sloan Ratio=(Net Income (TTM)-Cash Flow from Operations (TTM))
-Cash Flow from Investing (TTM))/Total Assets (Q: Sep. 2024 )
=(144.077-341.206
--75.722)/2287.59
=-5.31%

Temenos AG's Net Income for the trailing twelve months (TTM) ended in Sep. 2024 was 43.903 (Dec. 2023 ) + 32.265 (Mar. 2024 ) + 37.064 (Jun. 2024 ) + 30.845 (Sep. 2024 ) = $144 Mil.
Temenos AG's Cash Flow from Operations for the trailing twelve months (TTM) ended in Sep. 2024 was 137.322 (Dec. 2023 ) + 69.677 (Mar. 2024 ) + 92.514 (Jun. 2024 ) + 41.693 (Sep. 2024 ) = $341 Mil.
Temenos AG's Cash Flow from Investing for the trailing twelve months (TTM) ended in Sep. 2024 was -19.705 (Dec. 2023 ) + -16.542 (Mar. 2024 ) + -16.109 (Jun. 2024 ) + -23.366 (Sep. 2024 ) = $-76 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.


Temenos AG  (OTCPK:TMSNY) 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.

According to How to Beat the Market with the Sloan Ratio:

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, Temenos AG has a Sloan Ratio of -5.31%, indicating the company is in the safe zone and there is no funny business with accruals.


Temenos AG Sloan Ratio % Related Terms

Thank you for viewing the detailed overview of Temenos AG's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.


Temenos AG Business Description

Traded in Other Exchanges
Address
2 Rue de L’Ecole-de-Chimie, Geneva, CHE, 1205
Temenos AG is a Switzerland-based provider of software systems for banking and other financial services. Its digital banking offerings include corporate banking, investor servicing, retail banking, Islamic banking, Internet and mobile banking, and micro-banking capabilities. Its other offerings include financial crime analysis, payment processing, risk and compliance, portfolio and fund accounting, customer relationship management, data warehousing, and reporting. The firm has operations in the Americas, Europe, Middle East, Africa, and Asia-Pacific.

Temenos AG Headlines

From GuruFocus

Q1 2021 Temenos AG Earnings Call Transcript

By GuruFocus Research 02-15-2024

Temenos AG Capital Markets Day Transcript

By GuruFocus Research 02-15-2024

Q4 2021 Temenos AG Earnings Call Transcript

By GuruFocus Research 02-15-2024

Q2 2021 Temenos AG Earnings Call Transcript

By GuruFocus Research 02-15-2024

Q4 2023 Temenos AG Earnings Call Transcript

By GuruFocus Research 02-28-2024

Q1 2020 Temenos AG Earnings Call Transcript

By GuruFocus Research 02-15-2024

Q3 2024 Temenos AG Earnings Call Transcript

By GuruFocus News 10-24-2024

Q2 2024 Temenos AG Earnings Call Transcript

By GuruFocus News 10-09-2024

Q3 2023 Temenos AG Earnings Call Transcript

By GuruFocus Research 02-15-2024