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.
IVD Medical Holding's Sloan Ratio for the quarter that ended in Dec. 2023 was 0.49%.
As of Dec. 2023, IVD Medical Holding has a Sloan Ratio of 0.49%, indicating the company is in the safe zone and there is no funny business with accruals.
IVD Medical Holding Sloan Ratio % Historical Data
The historical data trend for IVD Medical Holding'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 IVD Medical Holding's Sloan Ratio %
For the Medical Distribution subindustry, IVD Medical Holding'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.
IVD Medical Holding's Sloan Ratio % Distribution in the Medical Distribution Industry
For the Medical Distribution industry and Healthcare sector, IVD Medical Holding's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where IVD Medical Holding's Sloan Ratio % falls into.
IVD Medical Holding 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.
IVD Medical Holding'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.
IVD Medical Holding's Net Income for the trailing twelve months (TTM) ended in Dec. 2023 was 112.669 (Jun. 2023 ) + 147.829 (Dec. 2023 ) = HK$260 Mil.
IVD Medical Holding's Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2023 was 143.422 (Jun. 2023 ) + 176.425 (Dec. 2023 ) = HK$320 Mil.
IVD Medical Holding's Cash Flow from Investing for the trailing twelve months (TTM) ended in Dec. 2023 was -24.974 (Jun. 2023 ) + -59.887 (Dec. 2023 ) = HK$-85 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.
IVD Medical Holding (HKSE:01931) 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, IVD Medical Holding has a Sloan Ratio of 0.49%, indicating the company is in the safe zone and there is no funny business with accruals.
IVD Medical Holding Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of IVD Medical Holding's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
IVD Medical Holding (HKSE:01931) Business Description
IVD Medical Holding Ltd is principally engaged in the sale and manufacture of medical equipment and consumables and the provision of consultancy and maintenance services related to medical equipment. It has three segments. The distribution business, which is the key revenue driver, involves the trading of IVD analysers, reagents, and other consumables to customers such as distributors, hospitals and healthcare institutions, and logistics providers. The After-sales Services provided by Vastec include maintenance and repair services, installation services and end-customer training. Its Self-branded Products Business, distributes its self-developed IVD products under its own brand which includes IVD analysers and reagents under the IVD testing category of Point-of-care testing.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
HKSE:01931 has been successfully added to your 