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.
AMMB Holdings Bhd's Sloan Ratio for the quarter that ended in Mar. 2024 was 1.73%.
As of Mar. 2024, AMMB Holdings Bhd has a Sloan Ratio of 1.73%, indicating the company is in the safe zone and there is no funny business with accruals.
AMMB Holdings Bhd Sloan Ratio % Historical Data
The historical data trend for AMMB Holdings Bhd'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 AMMB Holdings Bhd's Sloan Ratio %
For the Banks - Regional subindustry, AMMB Holdings Bhd'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.
AMMB Holdings Bhd's Sloan Ratio % Distribution in the Banks Industry
For the Banks industry and Financial Services sector, AMMB Holdings Bhd's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where AMMB Holdings Bhd's Sloan Ratio % falls into.
AMMB Holdings Bhd 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.
AMMB Holdings Bhd's Sloan Ratio for the fiscal year that ended in Mar. 2024 is calculated as
AMMB Holdings Bhd's Net Income for the trailing twelve months (TTM) ended in Mar. 2024 was 378.371 (Jun. 2023 ) + 469.778 (Sep. 2023 ) + 543.413 (Dec. 2023 ) + 476.536 (Mar. 2024 ) = RM1,868 Mil.
AMMB Holdings Bhd's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2024 was -2867.338 (Jun. 2023 ) + 2034.969 (Sep. 2023 ) + -231.698 (Dec. 2023 ) + -2072.007 (Mar. 2024 ) = RM-3,136 Mil.
AMMB Holdings Bhd's Cash Flow from Investing for the trailing twelve months (TTM) ended in Mar. 2024 was 1997.706 (Jun. 2023 ) + -1480.253 (Sep. 2023 ) + 1037.599 (Dec. 2023 ) + 52.553 (Mar. 2024 ) = RM1,608 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.
AMMB Holdings Bhd (XKLS:1015) 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. 2024, AMMB Holdings Bhd has a Sloan Ratio of 1.73%, indicating the company is in the safe zone and there is no funny business with accruals.
AMMB Holdings Bhd Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of AMMB Holdings Bhd's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
AMMB Holdings Bhd (XKLS:1015) Business Description
AMMB Holdings Bhd is a provider of banking and financial services in Malaysia through its subsidiaries: AmBank and AmBank Islamic. The bank's largest segments, which contributes the vast majority of revenue, are retail banking. The retail banking segment provides individuals and small businesses with services such as credit, auto financing, mortgages, credit cards, capital financing, personal loans, deposits, current accounts, and savings accounts. The wholesale banking business engages with corporate finance and advisory services, restructuring, security issuance, futures market services, stockbroking, and derivatives services. The insurance division offers life and general insurance products via its partnership with MetLife International. Investment banking, Fund management.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
XKLS:1015 has been successfully added to your 