Avery Dennison Corp (AVY)
Days of inventory on hand (DOH)
| Dec 31, 2024 | Sep 30, 2024 | Jun 30, 2024 | Mar 31, 2024 | 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 6.36 | 6.08 | 6.24 | 6.26 | 6.61 | 6.51 | 6.34 | 6.14 | 6.57 | 6.61 | 6.59 | 6.61 | 6.72 | 6.73 | 6.84 | 6.69 | 7.04 | 7.42 | 6.83 | 7.09 | |
| DOH | days | 57.35 | 60.02 | 58.45 | 58.35 | 55.21 | 56.03 | 57.54 | 59.45 | 55.56 | 55.20 | 55.37 | 55.24 | 54.32 | 54.23 | 53.33 | 54.54 | 51.86 | 49.19 | 53.45 | 51.47 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 6.36
= 57.35
The days of inventory on hand (DOH) for Avery Dennison Corp have ranged between 49.19 days to 60.02 days over the past few years. The average DOH for the company during this period is approximately 54.49 days.
A DOH of 49.19 days indicates that, on average, the company holds its inventory for about 49 days before selling it. Similarly, a DOH of 60.02 days suggests that the company takes about 60 days to sell its inventory on hand.
The trend in DOH shows some fluctuations but overall a slight upward trend, with DOH increasing from around 49 days to 60 days over the period analyzed. A rising DOH could indicate that the company is either facing difficulty in controlling its inventory levels or experiencing challenges in selling its products in a timely manner.
It is essential for Avery Dennison Corp to effectively manage its inventory levels to avoid excessive holding costs and potential obsolescence. Additionally, the company should focus on optimizing its production and sales processes to ensure a healthy balance between inventory levels and sales demand.
Peer comparison
Dec 31, 2024