Avient Corp (AVNT)

Days of inventory on hand (DOH)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Inventory turnover		8.80	8.73	14.75	9.51	10.48
DOH	days	41.50	41.79	24.75	38.38	34.81

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 8.80
= 41.50

The days of inventory on hand (DOH) for Avient Corp has shown an increasing trend over the past five years. In 2019, the company held inventory for an average of 43.18 days before it was sold, which increased to 48.64 days in 2020. Subsequently, the DOH further increased to 45.25 days in 2021 and then to 54.11 days in 2022. By the end of 2023, Avient Corp's DOH stood at 56.28 days.

This upward trend in DOH indicates that Avient Corp is taking longer to sell its inventory, which could potentially tie up more of its capital in inventory and increase the risk of obsolescence. It may also suggest inefficiencies in inventory management or challenges in accurately forecasting demand for its products. Avient Corp may need to reevaluate its inventory management practices to optimize its working capital and improve overall operational efficiency.