Ciena Corp (CIEN)
Days of inventory on hand (DOH)
| Nov 2, 2024 | Oct 28, 2023 | Oct 29, 2022 | Oct 30, 2021 | Oct 31, 2020 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 2.80 | 2.39 | 2.19 | 5.07 | 5.46 | |
| DOH | days | 130.46 | 152.95 | 166.75 | 71.95 | 66.89 |
November 2, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 2.80
= 130.46
Ciena Corp's Days of Inventory on Hand (DOH) has fluctuated over the past five years, indicating varying efficiency in managing inventory levels. In November 2024, the DOH stood at 130.46 days, representing a decrease from the previous year's 152.95 days. This suggests an improvement in inventory management efficiency.
Comparing the current DOH to the figures from previous years, it is evident that Ciena Corp's inventory turnover has been volatile. The highest DOH was recorded in October 2022 at 166.75 days, indicating a relatively slow inventory turnover, which could tie up capital and increase holding costs. In contrast, the lowest DOH was observed in October 2020 at 66.89 days, signaling a more efficient management of inventory during that period.
Overall, Ciena Corp's DOH trend shows a need for consistent monitoring and control of inventory levels to optimize working capital management and enhance operational efficiency. An increase in DOH may suggest excess inventory or slowing sales, while a decrease could indicate improved inventory turnover and potentially improved liquidity.
Peer comparison
Nov 2, 2024