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, Petros Pharmaceuticals has a Sloan Ratio of 0.00%, indicating the company is in the safe zone and there is no funny business with accruals.
Petros Pharmaceuticals 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 Petros Pharmaceuticals's Sloan Ratio %
For the Drug Manufacturers - Specialty & Generic subindustry, Petros Pharmaceuticals'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.
Petros Pharmaceuticals's Sloan Ratio % Distribution in the Drug Manufacturers Industry
For the Drug Manufacturers industry and Healthcare sector, Petros Pharmaceuticals's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Petros Pharmaceuticals's Sloan Ratio % falls into.
Petros Pharmaceuticals 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.
Petros Pharmaceuticals's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as
Petros Pharmaceuticals's Net Income for the trailing twelve months (TTM) ended in Mar. 2024 was -2.547 (Jun. 2023 ) + -4.55 (Sep. 2023 ) + 0.318 (Dec. 2023 ) + -2.163 (Mar. 2024 ) = $-8.94 Mil.
Petros Pharmaceuticals's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2024 was -0.572 (Jun. 2023 ) + -4.046 (Sep. 2023 ) + -2.26 (Dec. 2023 ) + -1.135 (Mar. 2024 ) = $-8.01 Mil.
Petros Pharmaceuticals's Cash Flow from Investing for the trailing twelve months (TTM) ended in Mar. 2024 was 0 (Jun. 2023 ) + 0 (Sep. 2023 ) + 0 (Dec. 2023 ) + 0 (Mar. 2024 ) = $0.00 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.
Petros Pharmaceuticals (NAS:PTPI) 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, Petros Pharmaceuticals has a Sloan Ratio of 0.00%, indicating the company is in the safe zone and there is no funny business with accruals.
Petros Pharmaceuticals Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of Petros Pharmaceuticals's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
Petros Pharmaceuticals (Petros Pharmaceuticals) Business Description
Petros Pharmaceuticals Inc is a men's health pharmaceutical company. It focuses on identifying, developing, acquiring, and commercializing innovative therapeutics for men's health issues including erectile dysfunction, peyronie's disease, hormone health and substance use disorders. The company's operating segment includes Prescription Medications and Medical Devices. It generates maximum revenue from the Medical Devices segment. The Prescription Medications segment consists primarily of operations related to Stendra, which is sold generally in the United States, and H100 for the treatment of Peyronie's disease.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
PTPI has been successfully added to your 