Avadel Pharmaceuticals (Avadel Pharmaceuticals) Sloan Ratio % : 11.13% (As of Dec. 2023)

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What is Avadel Pharmaceuticals 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.

Avadel Pharmaceuticals's Sloan Ratio for the quarter that ended in Dec. 2023 was 11.13%.

As of Dec. 2023, Avadel Pharmaceuticals has a Sloan Ratio of 11.13%, indicating there is a warning stage of accrual build up.

Avadel Pharmaceuticals Sloan Ratio % Historical Data

The historical data trend for Avadel Pharmaceuticals'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.

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Avadel Pharmaceuticals Sloan Ratio % Chart

Avadel Pharmaceuticals Annual Data

Trend

Dec14

Dec15

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Sloan Ratio %

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-22.20

40.27

-23.03

-110.60

11.13

Avadel Pharmaceuticals Quarterly Data
	Mar19	Jun19	Sep19	Dec19	Mar20	Jun20	Sep20	Dec20	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23
Sloan Ratio %	Get a 7-Day Free Trial															-110.60	-83.73	2.02	5.94	11.13

Competitive Comparison of Avadel Pharmaceuticals's Sloan Ratio %

For the Drug Manufacturers - Specialty & Generic subindustry, Avadel Pharmaceuticals'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.

Avadel Pharmaceuticals's Sloan Ratio % Distribution in the Drug Manufacturers Industry

For the Drug Manufacturers industry and Healthcare sector, Avadel Pharmaceuticals's Sloan Ratio % distribution charts can be found below:

* The bar in red indicates where Avadel Pharmaceuticals's Sloan Ratio % falls into.

Avadel Pharmaceuticals 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.

Avadel Pharmaceuticals's Sloan Ratio for the fiscal year that ended in Dec. 2023 is calculated as

Sloan Ratio	=	(Net Income (A: Dec. 2023 )	-	Cash Flow from Operations (A: Dec. 2023 )
	-	Cash Flow from Investing (A: Dec. 2023 ))	/	Total Assets (A: Dec. 2023 )
	=	(-160.276	-	-128.511
	-	-50.093)	/	164.698
	=	11.13%

Avadel Pharmaceuticals's Sloan Ratio for the quarter that ended in Dec. 2023 is calculated as

Sloan Ratio	=	(Net Income (TTM)	-	Cash Flow from Operations (TTM))
	-	Cash Flow from Investing (TTM))	/	Total Assets (Q: Dec. 2023 )
	=	(-160.276	-	-128.511
	-	-50.093)	/	164.698
	=	11.13%

Avadel Pharmaceuticals's Net Income for the trailing twelve months (TTM) ended in Dec. 2023 was -30.784 (Mar. 2023 ) + -64.432 (Jun. 2023 ) + -36.274 (Sep. 2023 ) + -28.786 (Dec. 2023 ) = $-160.28 Mil.
Avadel Pharmaceuticals's Cash Flow from Operations for the trailing twelve months (TTM) ended in Dec. 2023 was -30.233 (Mar. 2023 ) + -32.023 (Jun. 2023 ) + -38.226 (Sep. 2023 ) + -28.029 (Dec. 2023 ) = $-128.51 Mil.
Avadel Pharmaceuticals's Cash Flow from Investing for the trailing twelve months (TTM) ended in Dec. 2023 was 5.066 (Mar. 2023 ) + -92.908 (Jun. 2023 ) + 9.821 (Sep. 2023 ) + 27.928 (Dec. 2023 ) = $-50.09 Mil.

Avadel Pharmaceuticals (NAS:AVDL) 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.

According to How to Beat the Market with the Sloan Ratio:

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, Avadel Pharmaceuticals has a Sloan Ratio of 11.13%, indicating there is a warning stage of accrual build up.

Avadel Pharmaceuticals Sloan Ratio % Related Terms

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Avadel Pharmaceuticals (Avadel Pharmaceuticals) Business Description

Industry

GURUFOCUS.COM » STOCK LIST » Healthcare » Drug Manufacturers » Avadel Pharmaceuticals PLC (NAS:AVDL) » Definitions » Sloan Ratio %

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Traded in Other Exchanges

AWK1:Germany AWK1:Germany

Address

10 Earlsfort Terrace, Dublin 2, Dublin, IRL, D02 T380

Website

https://www.avadel.com

Avadel Pharmaceuticals PLC is a specialty pharmaceutical company. It identifies, develops, and commercializes branded pharmaceutical products including controlled-release therapeutic products based on its proprietary drug delivery technologies in the United States. The company markets products in both the primary care and sterile injectables markets. Its products portfolio includes Bloxiverz, Vazculep (phenylephrine hydrochloride injection), Akovaz (ephedrine sulfate injection), Karbinal ER (carbinoxamine maleate extended-release oral suspension), AcipHex Sprinkle (rabeprazole sodium), Cefaclor for Oral Suspension, 125 mg/5 mL, 250 mg/5 mL and 375 mg/5 mL, and Flexichamber. Majority of the revenue is derived from the United States.

Executives

Thomas S Mchugh	officer: Chief Financial Officer	2280 SCHUETZ ROAD, ST. LOUIS MO 63146
Mark Anthony Mccamish	director	C/O FORTY SEVEN, INC., 1490 O'BRIEN DRIVE, SUITE A, MENLO PARK CA 94025
Geoffrey Michael Glass	director	4721 EMPEROR BLVD, SUITE 200, DURHAM NC 27703
Greg J Divis	director, officer: Chief Executive Officer	10-1 BLANCHARDSTOWN CORPORATE PARK, BALLYCOOLIN, DUBLIN L2 15
Richard J Kim	officer: Chief Commercial Officer	16 FAIRWAY DRIVE, WEST WINDSOR NJ 08550
Eric J Ende	director	C/O MATINAS BIOPHARMA HOLDINGS, INC., 1545 ROUTE 206 SOUTH, SUITE 302, BEDMINSTER NJ 07921
Linda Palczuk	director	7015 ALBERT EINSTEIN DRIVE, COLUMBIA MD 21046
Peter Thornton	director	TECHNOPATH LIFE SCIENCES PARK, FORT HENRY, BALLINA, CO. TIPPERARY L2 V94 FF1P
Douglas J Williamson	officer: Chief Medical Officer	AVADEL PHARMACEUTICALS PLC, 10 EARLSFORT TERRACE, DUBLIN L2 D02 T390
Sandra L Hatten	officer: See Remarks	10-1 BLANCHARDSTOWN CORPORATE PARK, BALLYCOOLIN, DUBLIN L2 15
Jason Vaughn	officer: Sr. VP, Technical Operations	10-1 BLANCHARDSTOWN CORPORATE PARK, BALLYCOOLIN, DUBLIN L2 15
Jordan Dubow	officer: Chief Medical Officer	10-1 BLANCHARDSTOWN CORPORATE PARK, BALLYCOOLIN, DUBLIN L2 15
Michael F Kanan	officer: See Remarks	10-1 BLANCHARDSTOWN CORPORATE PARK, BALLYCOOLIN, DUBLIN L2 15
David P Gusky	officer: See Remarks	10-1 BLANCHARDSTOWN CORPORATE PARK, BALLYCOOLIN, DUBLIN L2 15
Michael S Anderson	director, officer: Chief Executive Officer	10-1 BLANCHARDSTOWN CORPORATE PARK, BALLYCOOLIN, DUBLIN L2 15