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.
Lincoln Minerals's Sloan Ratio for the quarter that ended in Dec. 2023 was -12.04%.
As of Dec. 2023, Lincoln Minerals has a Sloan Ratio of -12.04%, indicating there is a warning stage of accrual build up.
Lincoln Minerals Sloan Ratio % Historical Data
The historical data trend for Lincoln Minerals'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 Lincoln Minerals's Sloan Ratio %
For the Other Industrial Metals & Mining subindustry, Lincoln Minerals'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.
Lincoln Minerals's Sloan Ratio % Distribution in the Metals & Mining Industry
For the Metals & Mining industry and Basic Materials sector, Lincoln Minerals's Sloan Ratio % distribution charts can be found below:
* The bar in red indicates where Lincoln Minerals's Sloan Ratio % falls into.
Lincoln Minerals 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.
Lincoln Minerals's Sloan Ratio for the fiscal year that ended in Jun. 2023 is calculated as
For company reported semi-annually, GuruFocus uses latest two semi-annual data as the TTM data.
Lincoln Minerals's Net Income for the trailing twelve months (TTM) ended in Dec. 2023 was -2.483 (Jun. 2023 ) + -1.225 (Dec. 2023 ) = A$-3.71 Mil.
Lincoln Minerals's Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2023 was -1.068 (Jun. 2023 ) + -0.866 (Dec. 2023 ) = A$-1.93 Mil.
Lincoln Minerals's Cash Flow from Investing for the trailing twelve months (TTM) ended in Dec. 2023 was -0.576 (Jun. 2023 ) + -0.289 (Dec. 2023 ) = A$-0.87 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.
Lincoln Minerals (ASX:LML) 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 Dec. 2023, Lincoln Minerals has a Sloan Ratio of -12.04%, indicating there is a warning stage of accrual build up.
Lincoln Minerals Sloan Ratio % Related Terms
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Lincoln Minerals Ltd is an Australian minerals explorer and developer, focused on base metals, iron ore, and graphite exploration and project development on the Eyre Peninsula of South Australia. Lincoln's principal graphite projects include the Kookaburra Gully Project, the historic Koppio Graphite Mine, and the Kookaburra Gully Extended, Pernella, Campoona Syncline, and the Gum Flat project. Its other projects include Minbrie project a base metal and vanadium project, the Eurilla project, and the Nantuma project.
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