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Berry Global Group Sloan Ratio %

: -4.63% (As of Dec. 2020)
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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.

Berry Global Group's Sloan Ratio for the quarter that ended in Dec. 2020 was -4.63%.

As of Dec. 2020, Berry Global Group has a Sloan Ratio of -4.63%, indicating the company is in the safe zone and there is no funny business with accruals.


Berry Global Group Sloan Ratio % Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are indicated in the company's associated stock exchange currency.

* Premium members only.

Berry Global Group Annual Data
Sep11 Sep12 Sep13 Sep14 Sep15 Sep16 Sep17 Sep18 Sep19 Sep20
Sloan Ratio % Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 25.58 1.64 5.77 33.12 -3.92

Berry Global Group Quarterly Data
Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20
Sloan Ratio % 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 Premium Member Only Premium Member Only Premium Member Only 31.89 30.23 30.59 -3.92 -4.63

Competitive Comparison
* 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.


Berry Global Group Sloan Ratio % Distribution

* The bar in red indicates where Berry Global Group's Sloan Ratio % falls into.



Berry Global Group 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.

Berry Global Group's Sloan Ratio for the fiscal year that ended in Sep. 2020 is calculated as

Sloan Ratio=(Net Income (A: Sep. 2020 )-Cash Flow from Operations (A: Sep. 2020 )
-Cash Flow from Investing (A: Sep. 2020 ))/Total Assets (A: Sep. 2020 )
=(559-1530
--316)/16701
=-3.92%

Berry Global Group's Sloan Ratio for the quarter that ended in Dec. 2020 is calculated as

Sloan Ratio=(Net Income (TTM)-Cash Flow from Operations (TTM})
-Cash Flow from Investing (TTM))/Total Assets (Q: Dec. 2020 )
=(642-1627
--190)/17176
=-4.63%

Berry Global Group's Net Income for the trailing twelve months (TTM) ended in Dec. 2020 was 126 (Mar. 2020 ) + 191 (Jun. 2020 ) + 195 (Sep. 2020 ) + 130 (Dec. 2020 ) = $642 Mil.
Berry Global Group's Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2020 was 315 (Mar. 2020 ) + 446 (Jun. 2020 ) + 551 (Sep. 2020 ) + 315 (Dec. 2020 ) = $1,627 Mil.
{{stock_data.stock.company}'s Cash Flow from Investing for the trailing twelve months (TTM) ended in Dec. 2020 was 121 (Mar. 2020 ) + -125 (Jun. 2020 ) + -164 (Sep. 2020 ) + -22 (Dec. 2020 ) = $-190 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are indicated in the company's associated stock exchange currency.


Berry Global Group  (NYSE:BERY) 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 Dec. 2020, Berry Global Group has a Sloan Ratio of -4.63%, indicating the company is in the safe zone and there is no funny business with accruals.


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