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.
DCT Industrial Trust's Sloan Ratio for the quarter that ended in Jun. 2018 was 4.86%.
As of Jun. 2018, DCT Industrial Trust has a Sloan Ratio of 4.86%, indicating the company is in the safe zone and there is no funny business with accruals.
DCT Industrial Trust Sloan Ratio % Historical Data
The historical data trend for DCT Industrial Trust'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 DCT Industrial Trust's Sloan Ratio %
For the REIT - Industrial subindustry, DCT Industrial Trust'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.
DCT Industrial Trust's Sloan Ratio % Distribution in the REITs Industry
For the REITs industry and Real Estate sector, DCT Industrial Trust's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where DCT Industrial Trust's Sloan Ratio % falls into.
DCT Industrial Trust 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.
DCT Industrial Trust's Sloan Ratio for the fiscal year that ended in Dec. 2017 is calculated as
DCT Industrial Trust's Net Income for the trailing twelve months (TTM) ended in Jun. 2018 was 25.781 (Sep. 2017 ) + 21.12 (Dec. 2017 ) + 48.823 (Mar. 2018 ) + 24.116 (Jun. 2018 ) = $119.8 Mil.
DCT Industrial Trust's Cash Flow from Operations for the trailing twelve months (TTM) ended in Jun. 2018 was 44.879 (Sep. 2017 ) + 60.331 (Dec. 2017 ) + 49.023 (Mar. 2018 ) + 70.15 (Jun. 2018 ) = $224.4 Mil.
DCT Industrial Trust's Cash Flow from Investing for the trailing twelve months (TTM) ended in Jun. 2018 was -92.85 (Sep. 2017 ) + -112.39 (Dec. 2017 ) + 4.513 (Mar. 2018 ) + -102.46 (Jun. 2018 ) = $-303.2 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.
DCT Industrial Trust (NYSE:DCT) 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 Jun. 2018, DCT Industrial Trust has a Sloan Ratio of 4.86%, indicating the company is in the safe zone and there is no funny business with accruals.
DCT Industrial Trust Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of DCT Industrial Trust's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
DCT Industrial Trust (DCT Industrial Trust) Business Description
DCT Industrial Trust Inc is a real estate investment trust engaged in the acquiring, leasing, and managing of large distribution and light industrial warehouses near large U.S. urban markets. The company segments its operations into East, Central, and West divisions. DCT's property portfolio is fairly evenly distributed amongst its three regional units both in terms of total square footage and the percent of total revenue derived from each. The largest cities in each region play host to the most buildings. The company generates nearly all of its revenue in the form of rental revenue from its fairly diversified base of tenants. Manufacturing, transportation and warehousing, and wholesale trade companies account for most of DCT's revenue and total occupied square feet.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
DCT has been successfully added to your 