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.
Spire Global's Sloan Ratio for the quarter that ended in Mar. 2024 was -12.12%.
As of Mar. 2024, Spire Global has a Sloan Ratio of -12.12%, indicating there is a warning stage of accrual build up.
Spire Global Sloan Ratio % Historical Data
The historical data trend for Spire Global'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 Spire Global's Sloan Ratio %
For the Specialty Business Services subindustry, Spire Global'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.
Spire Global's Sloan Ratio % Distribution in the Business Services Industry
For the Business Services industry and Industrials sector, Spire Global's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Spire Global's Sloan Ratio % falls into.
Spire Global 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.
Spire Global's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as
Spire Global's Net Income for the trailing twelve months (TTM) ended in Mar. 2024 was -16.266 (Jun. 2023 ) + -17.795 (Sep. 2023 ) + -12.222 (Dec. 2023 ) + -25.256 (Mar. 2024 ) = $-71.5 Mil.
Spire Global's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2024 was -11.301 (Jun. 2023 ) + -5.142 (Sep. 2023 ) + 4.111 (Dec. 2023 ) + -7.345 (Mar. 2024 ) = $-19.7 Mil.
Spire Global's Cash Flow from Investing for the trailing twelve months (TTM) ended in Mar. 2024 was -3.165 (Jun. 2023 ) + -9.824 (Sep. 2023 ) + 2.293 (Dec. 2023 ) + -8.684 (Mar. 2024 ) = $-19.4 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.
Spire Global (NYSE:SPIR) 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, Spire Global has a Sloan Ratio of -12.12%, indicating there is a warning stage of accrual build up.
Spire Global Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of Spire Global's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
Spire Global Inc is a provider of space-based data, analytics, and Space Services, offering datasets and powerful insights about Earth from the ultimate vantage point of space so that organizations can make decisions with confidence, accuracy, and speed. The Company generates revenue from four solutions: Maritime, Aviation, Weather, and Space Services. It offers the following three data solutions to customers; Maritime-precise space-based data used for accurate ship monitoring, ship safety, and route optimization, Aviation-precise space-based data used for accurate aircraft monitoring, aircraft safety, and route optimization, and Weather-precise space-based data used for accurate weather forecasting.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
SPIR has been successfully added to your 