Align Technology Inc (ALGN)

Days of inventory on hand (DOH)

		Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020	Dec 31, 2019	Sep 30, 2019	Jun 30, 2019	Mar 31, 2019
Inventory turnover		3.89	3.89	3.60	3.59	3.25	3.44	3.53	3.86	4.42	4.61	5.00	5.11	5.09	5.38	4.82	5.56	5.92	6.71	7.39	8.12
DOH	days	93.79	93.84	101.37	101.69	112.32	106.14	103.52	94.62	82.61	79.18	72.98	71.43	71.71	67.82	75.79	65.65	61.70	54.40	49.37	44.96

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 3.89
= 93.79

To analyze Align Technology, Inc.'s days of inventory on hand (DOH) over the past eight quarters, it is evident that the trend has been fluctuating. The DOH for the most recent quarter, Q4 2023, decreased slightly to 93.79 days compared to the previous quarter at 93.84 days.

Looking back over the past year, there has been a general downward trend in DOH, with Q1 and Q2 2023 showing higher levels compared to Q4 2023. However, there was a notable spike in Q4 2022 with DOH at 112.32 days, significantly higher than the recent quarters.

It is essential to continue monitoring Align Technology's DOH trend to assess its inventory management efficiency and the company's ability to convert inventory into sales. Fluctuations in DOH can indicate changes in demand, production efficiency, or supply chain disruptions which may impact the company's financial performance.