What is Betterware de MexicoPI de CV 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.
* 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 Betterware de MexicoPI de CV's Sloan Ratio %
For the Specialty Retail subindustry, Betterware de MexicoPI de CV'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.
Betterware de MexicoPI de CV's Sloan Ratio % Distribution in the Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, Betterware de MexicoPI de CV's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Betterware de MexicoPI de CV's Sloan Ratio % falls into.
Betterware de MexicoPI de CV 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.
Betterware de MexicoPI de CV's Net Income for the trailing twelve months (TTM) ended in Dec. 2023 was 10.634 (Mar. 2023 ) + 15.071 (Jun. 2023 ) + 11.309 (Sep. 2023 ) + 23.925 (Dec. 2023 ) = $60.9 Mil.
Betterware de MexicoPI de CV's Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2023 was 37.836 (Mar. 2023 ) + 37.142 (Jun. 2023 ) + 18.138 (Sep. 2023 ) + 43.129 (Dec. 2023 ) = $136.2 Mil.
Betterware de MexicoPI de CV's Cash Flow from Investing for the trailing twelve months (TTM) ended in Dec. 2023 was 0.516 (Mar. 2023 ) + 0.261 (Jun. 2023 ) + -0.566 (Sep. 2023 ) + -4.079 (Dec. 2023 ) = $-3.9 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.
Betterware de MexicoPI de CV (NAS:BWMX) 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. 2023, Betterware de MexicoPI de CV has a Sloan Ratio of -10.94%, indicating there is a warning stage of accrual build up.
Betterware de MexicoPI de CV Sloan Ratio % Related Terms
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Betterware de MexicoPI de CV (Betterware de MexicoPI de CV) Business Description
Betterware de Mexico SAPI de CV is a direct-to-consumer selling company. The company operates through two business segments: the home organization products (Betterware segment or BWM segment) and the beauty and personal care products (B and PC) (JAFRA segment). The Betterware's segment is divided in six categories of the home organization: i) Kitchen and food preservation, ii) Home solutions, iii) Bedroom, iv) Bathroom, v) Laundry and Cleaning and vi) Tech and mobility. The JAFRA's segment is divided in four categories of the beauty and personal care: i) fragrance, ii) color, iii) skin care and iv) toiletries. The company's segments products are sold in twelve catalogs published throughout the year. The company operates mainly in Mexico and the United States.
Betterware de MexicoPI de CV (Betterware de MexicoPI de CV) Headlines
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