Constellation Energy Corp (CEG)

Short-term

Turnover ratios

The inventory turnover ratio of Constellation Energy Corp has shown fluctuating trends over the quarters, with values ranging from 9.14 to a peak of 18.38, indicating varying efficiencies in managing inventories. Generally, an increasing trend in this ratio suggests that the company is selling its inventory at a faster pace.

The receivables turnover ratio for Constellation Energy Corp is not available, indicating that the company may not have significant credit sales or that the information is not disclosed in the financial statements.

Similarly, the payables turnover ratio is not provided, making it difficult to analyze how efficiently the company is managing its payables.

The working capital turnover ratio has displayed mixed patterns, with values ranging from 5.70 to 41.69. This ratio reflects how effectively the company is utilizing its working capital to generate revenues. A higher ratio suggests better utilization of working capital to generate sales.

Overall, while the inventory turnover and working capital turnover ratios provide some insights into operational efficiency, the lack of data for receivables turnover and payables turnover ratios limits a comprehensive analysis of Constellation Energy Corp's activity ratios.

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Average number of days

Based on the given data for Constellation Energy Corp's activity ratios:

1. Days of Inventory on Hand (DOH):
- The DOH measures how many days, on average, the company holds inventory before selling it.
- Constellation Energy Corp's DOH fluctuated over the period, ranging from a low of 19.85 days on March 31, 2023, to a high of 39.95 days on December 31, 2024.
- Overall, the trend shows that the company has been able to reduce its inventory holding period towards the end of the period, which can indicate improvements in inventory management efficiency.

2. Days of Sales Outstanding (DSO):
- Unfortunately, the data provided does not include information on the Days of Sales Outstanding, which would have given insights into how long it takes for the company to collect its accounts receivable. It is crucial in understanding the efficiency of the company in collecting payments from customers.

3. Number of Days of Payables:
- Similarly, the data does not provide information on the Number of Days of Payables, which would have shown how long it takes for Constellation Energy Corp to pay its suppliers. This ratio is essential in analyzing the company's liquidity management and relationships with suppliers.

In conclusion, based solely on the Days of Inventory on Hand data provided, Constellation Energy Corp has shown some improvement in managing its inventory efficiently by reducing the number of days inventory is held before being sold over the period. However, without data on Days of Sales Outstanding and Number of Days of Payables, a comprehensive analysis of the company's complete activity ratios is not possible.

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Long-term

Constellation Energy Corp's long-term activity ratios indicate the efficiency with which the company utilizes its assets.

1. Fixed Asset Turnover: The trend of Constellation Energy Corp's fixed asset turnover shows a gradual increase from 0.87 in December 2020 to 1.23 in December 2022, indicating that the company generated $1.23 in sales for every dollar invested in fixed assets by the end of 2022. However, the ratio dropped slightly to 1.30 in June 2023. There is no data available for the periods beyond September 2023.

2. Total Asset Turnover: The total asset turnover ratio depicts a mixed trend for Constellation Energy Corp, starting at 0.38 in March 2020 and experiencing fluctuations before reaching 0.52 by December 2022. This indicates that the company generated $0.52 in sales for every dollar of total assets invested by the end of 2022. The ratio saw a decline to 0.43 by March 2024.

In summary, the company's fixed asset turnover improved steadily over the years, suggesting effective utilization of fixed assets to generate revenue. On the other hand, the total asset turnover ratio displayed fluctuations over time, indicating varying efficiency in utilizing all assets to generate sales.