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.
As of Sep. 2017, Capital Bank Financial has a Sloan Ratio of 0.65%, indicating the company is in the safe zone and there is no funny business with accruals.
Capital Bank Financial Sloan Ratio % Historical Data
* 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 Capital Bank Financial's Sloan Ratio %
For the Banks - Regional subindustry, Capital Bank Financial'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.
Capital Bank Financial's Sloan Ratio % Distribution in the Banks Industry
For the Banks industry and Financial Services sector, Capital Bank Financial's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Capital Bank Financial's Sloan Ratio % falls into.
Capital Bank Financial 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.
Capital Bank Financial's Sloan Ratio for the fiscal year that ended in Dec. 2016 is calculated as
Capital Bank Financial's Net Income for the trailing twelve months (TTM) ended in Sep. 2017 was 12.352 (Dec. 2016 ) + 20.883 (Mar. 2017 ) + 23.806 (Jun. 2017 ) + 25.758 (Sep. 2017 ) = $82.8 Mil.
Capital Bank Financial's Cash Flow from Operations for the trailing twelve months (TTM) ended in Sep. 2017 was 5.053 (Dec. 2016 ) + 10.971 (Mar. 2017 ) + 38.477 (Jun. 2017 ) + 36.493 (Sep. 2017 ) = $91.0 Mil.
Capital Bank Financial's Cash Flow from Investing for the trailing twelve months (TTM) ended in Sep. 2017 was 270.779 (Dec. 2016 ) + -313.376 (Mar. 2017 ) + -11.666 (Jun. 2017 ) + -19.919 (Sep. 2017 ) = $-74.2 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.
Capital Bank Financial (NAS:CBF) 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 Sep. 2017, Capital Bank Financial has a Sloan Ratio of 0.65%, indicating the company is in the safe zone and there is no funny business with accruals.
Capital Bank Financial Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of Capital Bank Financial's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
Capital Bank Financial (Capital Bank Financial) Business Description
Capital Bank Financial Corp is a bank holding company with over 180 operating branches across the United States. Through its branches, it offers a wide range of commercial and consumer loans and deposit products, as well as ancillary financial services. The firm also provides business and consumer banking services, treasury management, mortgage services, and wealth and investment management services.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
CBF has been successfully added to your 