Best Buy Co. Inc (BBY)
Days of inventory on hand (DOH)
| Feb 3, 2024 | Oct 28, 2023 | Jul 29, 2023 | Apr 29, 2023 | Jan 28, 2023 | Oct 29, 2022 | Jul 30, 2022 | Apr 30, 2022 | Jan 29, 2022 | Oct 30, 2021 | Jul 31, 2021 | May 1, 2021 | Jan 30, 2021 | Oct 31, 2020 | Aug 1, 2020 | May 2, 2020 | Feb 1, 2020 | Nov 2, 2019 | Aug 3, 2019 | May 4, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 6.83 | 4.50 | 6.15 | 6.78 | 7.08 | 5.16 | 6.37 | 6.31 | 6.73 | 4.73 | 6.30 | 6.82 | 6.54 | 4.73 | 8.12 | 8.32 | 6.49 | 4.38 | 6.34 | 6.33 | |
| DOH | days | 53.46 | 81.18 | 59.39 | 53.80 | 51.56 | 70.73 | 57.30 | 57.84 | 54.27 | 77.15 | 57.96 | 53.52 | 55.83 | 77.22 | 44.93 | 43.88 | 56.22 | 83.35 | 57.59 | 57.62 |
February 3, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 6.83
= 53.46
The Days of Inventory on Hand (DOH) ratio for Best Buy Co. Inc has shown fluctuations over the period under review. From Nov 2019 to Feb 2020, the company had a decreasing trend in DOH, with a significant decrease from 83.35 days to 43.88 days. This implies that the company managed its inventory more efficiently during this period.
However, the DOH ratio increased steadily from Feb 2020 to Oct 2020, peaking at 77.22 days in May 2021. This may suggest that Best Buy Co. Inc had challenges in managing its inventory levels efficiently during these quarters.
From May 2021 to Oct 2021, there was a slight decrease in the DOH ratio, indicating potential improvements in inventory management. Subsequently, the ratio increased again until Oct 2022, before decreasing by the end of the period. Overall, Best Buy's inventory management seems to have experienced some variability, highlighting the importance of closely monitoring and adjusting inventory levels to optimize operational efficiency and costs.
See also:
Best Buy Co. Inc Average Inventory Processing Period (Quarterly Data)