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.
Wan Hai Lines's Sloan Ratio for the quarter that ended in Dec. 2024 was 22.41%.
As of Dec. 2024, Wan Hai Lines has a Sloan Ratio of 22.41%, indicating there is a warning stage of accrual build up.
Wan Hai Lines Sloan Ratio % Historical Data
The historical data trend for Wan Hai Lines'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 Wan Hai Lines's Sloan Ratio %
For the Marine Shipping subindustry, Wan Hai Lines'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.
Wan Hai Lines's Sloan Ratio % Distribution in the Transportation Industry
For the Transportation industry and Industrials sector, Wan Hai Lines's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Wan Hai Lines'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.
Wan Hai Lines's Sloan Ratio for the fiscal year that ended in Dec. 2024 is calculated as
Wan Hai Lines's Net Income for the trailing twelve months (TTM) ended in Dec. 2024 was 4622.908 (Mar. 2024 ) + 11569.195 (Jun. 2024 ) + 18430.554 (Sep. 2024 ) + 12785.913 (Dec. 2024 ) = NT$47,409 Mil.
Wan Hai Lines's Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2024 was 8332.013 (Mar. 2024 ) + 12171.228 (Jun. 2024 ) + 27375.125 (Sep. 2024 ) + 21414.686 (Dec. 2024 ) = NT$69,293 Mil.
Wan Hai Lines's Cash Flow from Investing for the trailing twelve months (TTM) ended in Dec. 2024 was -44636.566 (Mar. 2024 ) + -41365.889 (Jun. 2024 ) + -27650.101 (Sep. 2024 ) + -411.561 (Dec. 2024 ) = NT$-114,064 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.
Wan Hai Lines (TPE:2615) 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. 2024, Wan Hai Lines has a Sloan Ratio of 22.41%, indicating there is a warning stage of accrual build up.
Wan Hai Lines Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of Wan Hai Lines's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
Wan Hai Lines Ltd is a transportation and logistics company domiciled in Taiwan. The company develops and operates terminals, container yards, and warehouses, and provides container shipping services through its fleet of vessels. Besides, the company constructs and maintains cargo containers, provides container loading and unloading services, and constructs and maintains ships. The company generates the majority of its revenue from Freight, Rentals, followed by WHL Terminals and Other services in geographical regions that includes Asia, followed by India, the Middle East, and the Red Sea.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
TPE:2615 has been successfully added to your 