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.
CK Hutchison Holdings's Sloan Ratio for the quarter that ended in Dec. 2023 was -1.08%.
As of Dec. 2023, CK Hutchison Holdings has a Sloan Ratio of -1.08%, indicating the company is in the safe zone and there is no funny business with accruals.
CK Hutchison Holdings Sloan Ratio % Historical Data
The historical data trend for CK Hutchison Holdings'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 CK Hutchison Holdings's Sloan Ratio %
For the Conglomerates subindustry, CK Hutchison Holdings'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.
CK Hutchison Holdings's Sloan Ratio % Distribution in the Conglomerates Industry
For the Conglomerates industry and Industrials sector, CK Hutchison Holdings's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where CK Hutchison Holdings's Sloan Ratio % falls into.
CK Hutchison Holdings 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.
CK Hutchison Holdings's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as
For company reported semi-annually, GuruFocus uses latest two semi-annual data as the TTM data.
CK Hutchison Holdings's Net Income for the trailing twelve months (TTM) ended in Dec. 2023 was 1430.869 (Jun. 2023 ) + 1573.92 (Dec. 2023 ) = $3,005 Mil.
CK Hutchison Holdings's Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2023 was 2705.349 (Jun. 2023 ) + 3872.826 (Dec. 2023 ) = $6,578 Mil.
CK Hutchison Holdings's Cash Flow from Investing for the trailing twelve months (TTM) ended in Dec. 2023 was -771.99 (Jun. 2023 ) + -1199.519 (Dec. 2023 ) = $-1,972 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.
CK Hutchison Holdings (OTCPK:CKHUY) 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, CK Hutchison Holdings has a Sloan Ratio of -1.08%, indicating the company is in the safe zone and there is no funny business with accruals.
CK Hutchison Holdings Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of CK Hutchison Holdings's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
CK Hutchison Holdings (CK Hutchison Holdings) Business Description
CK Hutchison Holdings, or CKH, is a Hong Kong headquartered conglomerate with key businesses in ports, retail, infrastructure, and telecommunications. The company was created in 2015 to house the merged assets of Cheung Kong Holdings and Hutchison Whampoa as the group sought to flatten out and simplify its original holding structure. CKH contains most of the businesses previously housed in Hutchison Whampoa, minus the property assets, which were spun off into their own listing, CK Asset Holdings. Telecommunications and infrastructure activities now make up the largest share of EBITDA, at around 27%.
CK Hutchison Holdings (CK Hutchison Holdings) Headlines
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
CKHUY has been successfully added to your 