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.
SilverBox III's Sloan Ratio for the quarter that ended in Mar. 2024 was 0.00%.
Warning Sign:
When sloan ratio (98.64)% higher than 25% or lower than -25%, earnings are more likely to be made up of accruals.
As of Mar. 2024, SilverBox III has a Sloan Ratio of 0.00%, indicating the company is in the safe zone and there is no funny business with accruals.
SilverBox III Sloan Ratio % Historical Data
The historical data trend for SilverBox III'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 SilverBox III's Sloan Ratio %
For the Shell Companies subindustry, SilverBox III'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.
SilverBox III's Sloan Ratio % Distribution in the Diversified Financial Services Industry
For the Diversified Financial Services industry and Financial Services sector, SilverBox III's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where SilverBox III's Sloan Ratio % falls into.
SilverBox III 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.
SilverBox III's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as
SilverBox III's Net Income for the trailing twelve months (TTM) ended in Mar. 2024 was 1.059 (Jun. 2023 ) + 1.193 (Sep. 2023 ) + 1.011 (Dec. 2023 ) + 1.201 (Mar. 2024 ) = $4.46 Mil.
SilverBox III's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2024 was -0.508 (Jun. 2023 ) + -0.118 (Sep. 2023 ) + -0.46 (Dec. 2023 ) + -0.736 (Mar. 2024 ) = $-1.82 Mil.
SilverBox III's Cash Flow from Investing for the trailing twelve months (TTM) ended in Mar. 2024 was 0.38 (Jun. 2023 ) + 0 (Sep. 2023 ) + 0.3 (Dec. 2023 ) + 0.475 (Mar. 2024 ) = $1.16 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.
SilverBox III (NYSE:SBXC) 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, SilverBox III has a Sloan Ratio of 0.00%, indicating the company is in the safe zone and there is no funny business with accruals.
SilverBox III Sloan Ratio % Related Terms
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SilverBox III (SilverBox III) Business Description
1250 S. Capital of Texas Highway, Building 2, Suite 285, Austin, TX, USA, 78746
Website
SilverBox Corp III is a newly incorporated blank check company formed for the purpose of effecting a merger, capital stock exchange, asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses.
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