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.
G-III Apparel Group's Sloan Ratio for the quarter that ended in Jan. 2024 was -14.29%.
As of Jan. 2024, G-III Apparel Group has a Sloan Ratio of -14.29%, indicating there is a warning stage of accrual build up.
G-III Apparel Group Sloan Ratio % Historical Data
The historical data trend for G-III Apparel Group'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 G-III Apparel Group's Sloan Ratio %
For the Apparel Manufacturing subindustry, G-III Apparel Group'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.
G-III Apparel Group's Sloan Ratio % Distribution in the Manufacturing - Apparel & Accessories Industry
For the Manufacturing - Apparel & Accessories industry and Consumer Cyclical sector, G-III Apparel Group's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where G-III Apparel Group's Sloan Ratio % falls into.
G-III Apparel 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.
G-III Apparel Group's Sloan Ratio for the fiscal year that ended in Jan. 2024 is calculated as
G-III Apparel Group's Net Income for the trailing twelve months (TTM) ended in Jan. 2024 was 3.236 (Apr. 2023 ) + 16.438 (Jul. 2023 ) + 127.64 (Oct. 2023 ) + 28.854 (Jan. 2024 ) = $176 Mil.
G-III Apparel Group's Cash Flow from Operations for the trailing twelve months (TTM) ended in Jan. 2024 was 201.831 (Apr. 2023 ) + 10.648 (Jul. 2023 ) + 13.792 (Oct. 2023 ) + 361.311 (Jan. 2024 ) = $588 Mil.
G-III Apparel Group's Cash Flow from Investing for the trailing twelve months (TTM) ended in Jan. 2024 was -8.63 (Apr. 2023 ) + -6.139 (Jul. 2023 ) + -4.536 (Oct. 2023 ) + -9.026 (Jan. 2024 ) = $-28 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.
G-III Apparel Group (NAS:GIII) 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 Jan. 2024, G-III Apparel Group has a Sloan Ratio of -14.29%, indicating there is a warning stage of accrual build up.
G-III Apparel Group Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of G-III Apparel Group's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
G-III Apparel Group (G-III Apparel Group) Business Description
G-III Apparel Group Ltd is a textile company. It makes a wide range of apparel, footwear, and accessories that it sells under its own brands, licensed brands, and private-label brands. G-III has a substantial portfolio for licensed and proprietary brands, anchored by five global power brands: DKNY, Donna Karan, Calvin Klein, Tommy Hilfiger, and Karl Lagerfeld. The company has two reportable operations: Wholesale Operations and Retail Operations. The Wholesale operations segment includes sales of products under brands licensed by us from third parties, as well as sales of products under its own brands and private label brands. The retail operations segment consists primarily of Wilsons Leather, G.H. Bass, and DKNY retail stores. It derives most of its revenues from Wholesale operations.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
GIII has been successfully added to your 