American Axle & Manufacturing (AXL)

Days of inventory on hand (DOH)

		Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019
Inventory turnover		11.30	10.99	10.80	12.77	15.07
DOH	days	32.31	33.22	33.78	28.58	24.23

December 31, 2023 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 11.30
= 32.31

The days of inventory on hand (DOH) for American Axle & Manufacturing Holdings Inc have shown a fluctuating trend over the past five years. In 2023, the company had 32.31 days of inventory on hand, slightly lower than the previous year's 33.22 days. Compared to 2021 and 2020, where the DOH was 33.78 days and 28.58 days respectively, the company appears to have managed its inventory more efficiently in 2023. However, the DOH in 2023 was higher than in 2019 when it was 24.23 days, indicating a longer average time it takes for the company to sell its inventory.

Analyzing the trend over the years, the company seems to have experienced inventory management challenges in 2021 and 2020, as indicated by the higher DOH figures during those years. The improvement seen in 2023 suggests that the company may have implemented better inventory control measures. However, it is worth monitoring to see if this improvement continues in the future to ensure effective management of working capital and optimize operational efficiency.