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 Mar. 2024, Lighting & Equipment PCL has a Sloan Ratio of -6.00%, indicating the company is in the safe zone and there is no funny business with accruals.
Lighting & Equipment PCL 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 Lighting & Equipment PCL's Sloan Ratio %
For the Electrical Equipment & Parts subindustry, Lighting & Equipment PCL'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.
Lighting & Equipment PCL's Sloan Ratio % Distribution in the Industrial Products Industry
For the Industrial Products industry and Industrials sector, Lighting & Equipment PCL's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Lighting & Equipment PCL's Sloan Ratio % falls into.
Lighting & Equipment PCL 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.
Lighting & Equipment PCL's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as
Lighting & Equipment PCL's Net Income for the trailing twelve months (TTM) ended in Mar. 2024 was -17.884 (Jun. 2023 ) + 3.404 (Sep. 2023 ) + -7.956 (Dec. 2023 ) + -13.424 (Mar. 2024 ) = ฿-36 Mil.
Lighting & Equipment PCL's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2024 was 26.364 (Jun. 2023 ) + 76.112 (Sep. 2023 ) + 44.54 (Dec. 2023 ) + 43.932 (Mar. 2024 ) = ฿191 Mil.
Lighting & Equipment PCL's Cash Flow from Investing for the trailing twelve months (TTM) ended in Mar. 2024 was -11.189 (Jun. 2023 ) + -14.336 (Sep. 2023 ) + -5.451 (Dec. 2023 ) + -4.668 (Mar. 2024 ) = ฿-36 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.
Lighting & Equipment PCL (BKK:L&E) 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 Mar. 2024, Lighting & Equipment PCL has a Sloan Ratio of -6.00%, indicating the company is in the safe zone and there is no funny business with accruals.
Lighting & Equipment PCL Sloan Ratio % Related Terms
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Lighting & Equipment PCL (BKK:L&E) Business Description
Lighting & Equipment PCL is engaged in manufacturing, and distributing lighting fixtures, lamps, electrical equipment, and installation service and design of electric and lighting systems. Its other products include cable trunking systems, light-emitting diodes (LEDs), light boxes, lighting control equipment, lighting poles, luminaries, optical fiber lighting, and others. These products are sold through two main channels, project and retail. The company offers its products to hotels, resorts, airports, shopping malls, commercial buildings, and showrooms among others.
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