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.
Mesabi Trust's Sloan Ratio for the quarter that ended in Jan. 2024 was 0.00%.
As of Jan. 2024, Mesabi Trust has a Sloan Ratio of 0.00%, indicating the company is in the safe zone and there is no funny business with accruals.
Mesabi Trust Sloan Ratio % Historical Data
The historical data trend for Mesabi Trust'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 Mesabi Trust's Sloan Ratio %
For the Steel subindustry, Mesabi Trust'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.
Mesabi Trust's Sloan Ratio % Distribution in the Steel Industry
For the Steel industry and Basic Materials sector, Mesabi Trust's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Mesabi Trust's Sloan Ratio % falls into.
Mesabi Trust 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.
Mesabi Trust's Sloan Ratio for the fiscal year that ended in Jan. 2024 is calculated as
Mesabi Trust's Net Income for the trailing twelve months (TTM) ended in Jan. 2024 was 1.023 (Apr. 2023 ) + 9.183 (Jul. 2023 ) + 4.086 (Oct. 2023 ) + 4.691 (Jan. 2024 ) = $18.98 Mil.
Mesabi Trust's Cash Flow from Operations for the trailing twelve months (TTM) ended in Jan. 2024 was -0.864 (Apr. 2023 ) + 4.648 (Jul. 2023 ) + 5.162 (Oct. 2023 ) + 5.66 (Jan. 2024 ) = $14.61 Mil.
Mesabi Trust's Cash Flow from Investing for the trailing twelve months (TTM) ended in Jan. 2024 was 0 (Apr. 2023 ) + 0 (Jul. 2023 ) + 0 (Oct. 2023 ) + 0 (Jan. 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.
Mesabi Trust (NYSE:MSB) 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 Jan. 2024, Mesabi Trust has a Sloan Ratio of 0.00%, indicating the company is in the safe zone and there is no funny business with accruals.
Mesabi Trust Sloan Ratio % Related Terms
Thank you for viewing the detailed overview of Mesabi Trust's Sloan Ratio % provided by GuruFocus.com. Please click on the following links to see related term pages.
Mesabi Trust operates as a royalty trust in the United States. The company involves in the conservation and protection of the assets held. Its principally wholly-owned segment is iron ore mining segment and it generates income from the Peter Mitchell Mine, an iron mine located near Babbitt, Minnesota, at the eastern end of the Mesabi Iron Range. The principal assets of the firm consist of two different interests in certain properties in the Mesabi Iron Range and beneficial interest in the Mesabi Land Trust.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
Portfolio Contest
MSB has been successfully added to your 