TurnDays

Cash Conversion Cycle — Dechow Sloan and Soliman 2004

Profitability

Quick facts

Factor ID TurnDays
Display name Cash Conversion Cycle
Family Predictor
Category Profitability
Direction lower_expected_return
Status supported
Paper Dechow Sloan and Soliman 2004
Source tables
Required fields
PIT required yes
Coverage 2010-04-27 – 2026-05-15 · 664,239 rows · 97.0% of panel

Formula

turn_days from fina_indicator

China adaptation

No adaptation note.

Direction-adjusted cumulative return

0.62 0.73 0.83 0.93 1.04 2010-04 2014-04 2018-04 2022-04 2026-04

Return metrics

Metric Value
Months in sample 193
Monthly mean -0.0675%
Monthly std 2.7026%
Annualized Sharpe -0.09
t-stat (simple) -0.35
Hit rate (months > 0) 48.2%
Last 12M compounded -7.76%
Cumulative wealth (start = 1) 0.818

Recent 12 months

Month L/S return Cumulative Names
2025-05 -3.57% 0.855 5024
2025-06 -1.42% 0.843 5034
2025-07 -1.43% 0.831 5035
2025-08 -0.66% 0.826 5048
2025-09 +0.78% 0.832 5056
2025-10 -0.28% 0.830 5057
2025-11 -0.43% 0.826 5061
2025-12 +3.60% 0.856 5075
2026-01 -1.33% 0.844 5074
2026-02 +1.44% 0.857 5079
2026-03 -1.57% 0.843 5080
2026-04 -2.97% 0.818 5082

Known data issues

None recorded.

Notes

None recorded.

See also: Profitability family, Factor library, Factor returns.