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Tradeweb Markets (Tradeweb Markets) Sloan Ratio % : -1.18% (As of Mar. 2024)


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What is Tradeweb Markets 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.

Tradeweb Markets's Sloan Ratio for the quarter that ended in Mar. 2024 was -1.18%.

As of Mar. 2024, Tradeweb Markets has a Sloan Ratio of -1.18%, indicating the company is in the safe zone and there is no funny business with accruals.


Tradeweb Markets Sloan Ratio % Historical Data

The historical data trend for Tradeweb Markets'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.

* Premium members only.

Tradeweb Markets Sloan Ratio % Chart

Tradeweb Markets Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Sloan Ratio %
Get a 7-Day Free Trial -3.59 -3.77 -1.54 -4.21 -3.52

Tradeweb Markets Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Sloan Ratio % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -4.57 -4.58 -3.22 -3.52 -1.18

Competitive Comparison of Tradeweb Markets's Sloan Ratio %

For the Capital Markets subindustry, Tradeweb Markets'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.


Tradeweb Markets's Sloan Ratio % Distribution in the Capital Markets Industry

For the Capital Markets industry and Financial Services sector, Tradeweb Markets's Sloan Ratio % distribution charts can be found below:

* The bar in red indicates where Tradeweb Markets's Sloan Ratio % falls into.



Tradeweb Markets 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.

Tradeweb Markets'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 )
=(364.866-746.089
--132.765)/7059.538
=-3.52%

Tradeweb Markets's Sloan Ratio for the quarter that ended in Mar. 2024 is calculated as

Sloan Ratio=(Net Income (TTM)-Cash Flow from Operations (TTM))
-Cash Flow from Investing (TTM))/Total Assets (Q: Mar. 2024 )
=(403.152-713.163
--223.042)/7395.949
=-1.18%

Tradeweb Markets's Net Income for the trailing twelve months (TTM) ended in Mar. 2024 was 89.082 (Jun. 2023 ) + 98.614 (Sep. 2023 ) + 89.314 (Dec. 2023 ) + 126.142 (Mar. 2024 ) = $403 Mil.
Tradeweb Markets's Cash Flow from Operations for the trailing twelve months (TTM) ended in Mar. 2024 was 213.099 (Jun. 2023 ) + 217.389 (Sep. 2023 ) + 244.761 (Dec. 2023 ) + 37.914 (Mar. 2024 ) = $713 Mil.
Tradeweb Markets's Cash Flow from Investing for the trailing twelve months (TTM) ended in Mar. 2024 was -17.346 (Jun. 2023 ) + -86.449 (Sep. 2023 ) + -12.256 (Dec. 2023 ) + -106.991 (Mar. 2024 ) = $-223 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.


Tradeweb Markets  (NAS:TW) 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 Mar. 2024, Tradeweb Markets has a Sloan Ratio of -1.18%, indicating the company is in the safe zone and there is no funny business with accruals.


Tradeweb Markets Sloan Ratio % Related Terms

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Tradeweb Markets (Tradeweb Markets) Business Description

Traded in Other Exchanges
Address
1177 Avenue of the Americas, New York, NY, USA, 10036
Founded in 1998 and headquartered in New York City, Tradeweb Markets is a leading fixed-income trading platform. While it does offer electronic processing for some voice-negotiated trades, the company focuses primarily on providing electronic trading networks that connect broker/dealers, institutional clients, and retail customers. While the company offers trading in a wide variety of products, the bulk of its business is in U.S. and European government debt, mortgage-backed securities, interest-rate swaps, and U.S. and international corporate bonds. The firm also sells fixed-income trading and price data, primarily through a deal with Refinitiv's Eikon service.
Executives
William Hult director, officer: President TRADEWEB MARKETS INC., 1177 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Douglas Friedman officer: General Counsel and Secretary TRADEWEB MARKETS INC., 1177 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Scott Zucker officer: Chief Admin. and Risk Officer TRADEWEB MARKETS INC., 1177 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Enrico Bruni officer: Managing Director, Europe/Asia TRADEWEB MARKETS INC., 1177 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Justin Peterson officer: Chief Technology Officer TRADEWEB MARKETS INC., 1177 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Rana Yared director 1177 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Catherine Johnson director 1177 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Tradeweb Markets Inc. director 1177 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Steven Berns director TRADEWEB MARKETS INC., 1177 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Sara Furber officer: Chief Financial Officer MORGAN STANLEY INVESTMENT MANAGEMENT, 522 FIFTH AVE, NEW YORK NY 10036
Lee Olesky director, officer: Chief Executive Officer TRADEWEB MARKETS INC., 1177 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Troy Dixon director PO BOX 25250, PMB 13941, MIAMI FL 33102
Jacques Aigrain director C/O LYONDELLBASELL INDUSTRIES N.V., DELFTSEPLEIN 27E, ROTTERDAM P7 3013AA
Simon Maisey officer: Managing Director, Corp. Dev. TRADEWEB MARKETS INC., 1177 AVENUE OF THE AMERICAS, NEW YORK NY 10036
Balbir Bakhshi director 1177 AVENUE OF THE AMERICAS, NEW YORK NY 10036