Skip to main content
Earnings quality and risk screens

Sloan accruals

The share of earnings that came from accounting accruals rather than cash - high accruals have historically preceded weaker subsequent earnings.

Formula

(Net income − operating cash flow − investing cash flow) ÷ average total assets

Served as: annual · derived. Annual and quarterly observations are never mixed unlabeled.

Where the inputs come from

  • Computed server-side from filed income and cash-flow concepts

Listed highest priority first. Every served figure carries its filing, fiscal period and accession; open any value on the financials page to see them.

How to compare it honestly

Compare against the company's own history; one elevated year is a prompt, not a pattern.

When it is not served

Not served when the cash-flow inputs are missing for the period.

Missing data is missing evidence: it is never shown as zero and never treated as a conclusion.

What it cannot tell you

Growth phases legitimately raise accruals; the ratio cannot separate growth from aggressive recognition.

Questions worth asking next

  • Which balance-sheet lines drove the accrual build?
  • Does the pattern persist across multiple years?

Research prompts, not recommendations.

See it computed from filings

Related in earnings quality and risk screens: Altman Z'' · Piotroski F-score · Beneish M-score · Cash-flow backing of earnings · Receivables vs revenue · Inventory vs revenue

Definitions are descriptive and educational. Nothing here is a guaranteed signal or personalized investment advice. How the platform computes and cites every figure.

Educational content only. Not financial advice. TrendNalysis provides educational and informational financial analysis built from public SEC filings and economic data (FRED, BLS). It is not financial, investment, tax, or legal advice and is not a recommendation to buy or sell any security. Market pricing is not currently included. Past performance does not guarantee future results. Always do your own research and consult a licensed financial professional before investing.