Carrier Global Corp (CARR)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|
| Inventory turnover | 1.64 | 1.01 | 1.65 | 1.83 | |
| DOH | days | 222.49 | 360.76 | 221.38 | 199.32 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 1.64
= 222.49
To analyze Carrier Global Corp's Days of Inventory on Hand (DOH) over the past five years:
1. There has been a fluctuating trend in DOH from 2019 to 2023, ranging from a low of 36.86 days in 2019 to a high of 64.42 days in 2022.
2. The increase in DOH from 2019 to 2022 indicates a potential buildup of inventory or slower inventory turnover during this period.
3. The decrease in DOH in 2023 compared to 2022 suggests an improvement in inventory management efficiency, with the company holding inventory for a shorter period before selling or using it.
4. The DOH in 2021 was relatively stable compared to the previous and subsequent years, indicating consistent inventory management practices during that period.
5. Overall, monitoring DOH is crucial for evaluating how efficiently Carrier Global is managing its inventory levels and optimizing working capital. Fluctuations in DOH should be further investigated to understand the underlying factors impacting inventory turnover within the company.
Peer comparison
Dec 31, 2023