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.
Laser Photonics's Sloan Ratio for the quarter that ended in Mar. 2024 was 20.14%.
As of Mar. 2024, Laser Photonics has a Sloan Ratio of 20.14%, indicating there is a warning stage of accrual build up.
Laser Photonics Sloan Ratio % Historical Data
The historical data trend for Laser Photonics'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 Laser Photonics's Sloan Ratio %
For the Specialty Industrial Machinery subindustry, Laser Photonics'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.
Laser Photonics's Sloan Ratio % Distribution in the Industrial Products Industry
For the Industrial Products industry and Industrials sector, Laser Photonics's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Laser Photonics's Sloan Ratio % falls into.
Laser Photonics 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.
Laser Photonics's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as
Laser Photonics's Net Income for the trailing twelve months (TTM) ended in Mar. 2024 was 0.029 (Jun. 2023 ) + -1.096 (Sep. 2023 ) + -1.267 (Dec. 2023 ) + -0.546 (Mar. 2024 ) = $-2.88 Mil.
Laser Photonics's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2024 was -1.838 (Jun. 2023 ) + -0.392 (Sep. 2023 ) + -1.925 (Dec. 2023 ) + -0.866 (Mar. 2024 ) = $-5.02 Mil.
Laser Photonics's Cash Flow from Investing for the trailing twelve months (TTM) ended in Mar. 2024 was -0.139 (Jun. 2023 ) + -0.135 (Sep. 2023 ) + -0.159 (Dec. 2023 ) + -0.162 (Mar. 2024 ) = $-0.60 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.
Laser Photonics (NAS:LASE) 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, Laser Photonics has a Sloan Ratio of 20.14%, indicating there is a warning stage of accrual build up.
Laser Photonics Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of Laser Photonics's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
Laser Photonics (Laser Photonics) Business Description
Laser Photonics Corp is an integrated manufacturing company for photonics-based industrial products and solutions, primarily laser cleaning technologies. Its laser-blasting technologies are focused on disrupting the sandblasting and abrasives blasting markets. The company offers a portfolio of integrated laser-blasting solutions for corrosion control, rust removal, de-coating, pre-welding and post-welding, laser cleaning, and surface conditioning. Its laser-blasting solutions are applicable in every industry dealing with materials processing, including automotive, aerospace, healthcare, consumer products, shipbuilding, aerospace, heavy industry, machine manufacturing, nuclear maintenance and de-commissioning, and surface coating.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
LASE has been successfully added to your 