What is Zhejiangnhua Intelligent Controls Co Sloan Ratio %?
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, Zhejiangnhua Intelligent Controls Co has a Sloan Ratio of 4.18%, indicating the company is in the safe zone and there is no funny business with accruals.
Zhejiangnhua Intelligent Controls Co 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.
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Zhejiangnhua Intelligent Controls Co Sloan Ratio % Chart
Competitive Comparison of Zhejiangnhua Intelligent Controls Co's Sloan Ratio %
For the Specialty Industrial Machinery subindustry, Zhejiangnhua Intelligent Controls Co'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.
Zhejiangnhua Intelligent Controls Co's Sloan Ratio % Distribution in the Industrial Products Industry
For the Industrial Products industry and Industrials sector, Zhejiangnhua Intelligent Controls Co's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Zhejiangnhua Intelligent Controls Co's Sloan Ratio % falls into.
Zhejiangnhua Intelligent Controls Co 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.
Zhejiangnhua Intelligent Controls Co's Net Income for the trailing twelve months (TTM) ended in Mar. 2024 was 793.498 (Jun. 2023 ) + 764.87 (Sep. 2023 ) + 761.362 (Dec. 2023 ) + 647.742 (Mar. 2024 ) = ¥2,967 Mil.
Zhejiangnhua Intelligent Controls Co's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2024 was 982.802 (Jun. 2023 ) + 644.966 (Sep. 2023 ) + 1360.324 (Dec. 2023 ) + 107.817 (Mar. 2024 ) = ¥3,096 Mil.
Zhejiangnhua Intelligent Controls Co's Cash Flow from Investing for the trailing twelve months (TTM) ended in Mar. 2024 was -598.617 (Jun. 2023 ) + -246.747 (Sep. 2023 ) + 28.238 (Dec. 2023 ) + -672.244 (Mar. 2024 ) = ¥-1,489 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.
Zhejiangnhua Intelligent Controls Co (SZSE:002050) 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, Zhejiangnhua Intelligent Controls Co has a Sloan Ratio of 4.18%, indicating the company is in the safe zone and there is no funny business with accruals.
Zhejiangnhua Intelligent Controls Co Sloan Ratio % Related Terms
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Zhejiangnhua Intelligent Controls Co (SZSE:002050) Business Description
Zhejiang Sanhua Intelligent Controls Co Ltd is an HVAC&R manufacturer of controls and components. It is engaged in the research and development, manufacture and distribution of refrigeration and air-conditioning control components, which include 4-way reversing valves, solenoid valves, and electronic expansion valves. The products offered by the company are standard controls and line components, customized controls and line components, electronic controls, and micro-channel heat exchanger. The products have application in air conditioning, commercial refrigeration, heat pump and home appliances. The organization supplies its products in China and internationally.
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