Amazon.com Inc (AMZN)

Days of inventory on hand (DOH)

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Inventory turnover		11.92	11.64	10.81	10.45	11.85
DOH	days	30.63	31.36	33.75	34.93	30.81

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 11.92
= 30.63

Based on the provided data, Amazon.com Inc's Days of Inventory on Hand (DOH) has shown some fluctuations over the past five years. As of December 31, 2020, the company had approximately 30.81 days' worth of inventory on hand. This figure increased to 34.93 days by December 31, 2021, indicating a potential buildup of inventory relative to sales.

However, in the following years, there seems to be a slight improvement in inventory management, as the DOH decreased to 33.75 days by December 31, 2022, and further to 31.36 days by December 31, 2023. This reduction suggests that Amazon may have been more efficient in managing its inventory levels, potentially leading to cost savings and better liquidity.

By the end of December 31, 2024, the DOH remained relatively stable at 30.63 days, indicating that Amazon continues to strike a balance in maintaining adequate inventory levels to meet customer demand without oversupplying or risking stockouts. Overall, the trend in Amazon's DOH reflects a mix of inventory management strategies over the years, with a recent focus on optimizing inventory levels for operational efficiency and profitability.