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.
Vascular Solutions's Sloan Ratio for the quarter that ended in Sep. 2016 was 8.52%.
As of Sep. 2016, Vascular Solutions has a Sloan Ratio of 8.52%, indicating the company is in the safe zone and there is no funny business with accruals.
Vascular Solutions Sloan Ratio % Historical Data
The historical data trend for Vascular Solutions'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 Vascular Solutions's Sloan Ratio %
For the Medical Devices subindustry, Vascular Solutions'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.
Vascular Solutions's Sloan Ratio % Distribution in the Medical Devices & Instruments Industry
For the Medical Devices & Instruments industry and Healthcare sector, Vascular Solutions's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Vascular Solutions's Sloan Ratio % falls into.
Vascular Solutions 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.
Vascular Solutions's Sloan Ratio for the fiscal year that ended in Dec. 2015 is calculated as
Vascular Solutions's Net Income for the trailing twelve months (TTM) ended in Sep. 2016 was 1.557 (Dec. 2015 ) + -0.255 (Mar. 2016 ) + 5.403 (Jun. 2016 ) + 5.44 (Sep. 2016 ) = $12.1 Mil.
Vascular Solutions's Cash Flow from Operations for the trailing twelve months (TTM) ended in Sep. 2016 was 2.58 (Dec. 2015 ) + -4.335 (Mar. 2016 ) + 7.234 (Jun. 2016 ) + 7.555 (Sep. 2016 ) = $13.0 Mil.
Vascular Solutions's Cash Flow from Investing for the trailing twelve months (TTM) ended in Sep. 2016 was -2.573 (Dec. 2015 ) + -2.914 (Mar. 2016 ) + -4.648 (Jun. 2016 ) + -4.089 (Sep. 2016 ) = $-14.2 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.
Vascular Solutions (NAS:VASC) 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. 2016, Vascular Solutions has a Sloan Ratio of 8.52%, indicating the company is in the safe zone and there is no funny business with accruals.
Vascular Solutions Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of Vascular Solutions's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
Vascular Solutions (Vascular Solutions) Business Description
Vascular Solutions Inc was incorporated in the state of Minnesota in December 1996. It is a medical device company, creates new minimally invasive medical devices, and delivers these products and related services to physicians through its direct domestic sales force and its international distribution network. The Company's products and services are divided into three categories: Catheter products; Hemostat products and Vein products and services. Catheter products consist principally of catheters used in minimally invasive medical procedures for the diagnosis or treatment of vascular conditions, such as the GuideLiner catheter used to access discrete regions of the coronary anatomy and the Pronto extraction catheters used in treating acute myocardial infarction. Hemostat products consist principally of blood clotting products, such as the D-Stat Dry hemostat, a topical thrombin-based pad with a bandage used to control surface bleeding, and the D-Stat Flowable, a thick yet flowable thrombin-based mixture for preventing bleeding in subcutaneous pockets. Vein products and services consist principally of the Vari-Lase endovenous laser, a laser console and procedure kit used for the treatment of varicose veins, and a reprocessing service for the ClosureFAST radiofrequency vein ablation catheter. The Company manufactures its products in its facilities located in the suburbs of Minneapolis, Minnesota and in the country of Ireland. The catheter manufacturing and packaging processes occur under a controlled clean room environment. It purchases components from various suppliers and rely on single sources for several parts of its products. It purchases its requirements for thrombin for use in manufacturing products sold in the U.S. under the Thrombin-JMI Supply Agreement with King. Its main competitors include: Medtronic, Boston Scientific, Covidien, Merit Medical, Marine Polymer Technologies, Cook Medical, Spectranetics, AngioDynamics and Terumo. The Company's products and services are regulated in the United States as medical devices by the FDA under the Federal Food, Drug and Cosmetic Act.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
VASC has been successfully added to your 