The Cooper Companies Inc. (COO)

The number of days of payables, also known as the payables turnover period, measures the number of days it takes a company to pay its suppliers for goods and services purchased on credit. It is calculated by dividing the average accounts payable by the cost of goods sold and then multiplying the result by 365.

Cooper Companies, Inc.'s number of days of payables for the last five years are as follows:
- Oct 31, 2023: 77.38 days
- Oct 31, 2022: 77.70 days
- Oct 31, 2021: 60.94 days
- Oct 31, 2020: 71.69 days
- Oct 31, 2019: 61.10 days

A higher number of days of payables indicates that the company is taking longer to pay its suppliers, potentially signaling inefficiencies in its working capital management or strained supplier relationships. Conversely, a lower number of days may indicate the efficient management of payables but may raise concerns about the company's ability to maintain strong supplier relationships.

Analyzing Cooper Companies, Inc.'s trend in the number of days of payables, we observe that there has been an upward trend in recent years, with the number of days increasing from 61.10 days in 2019 to 77.38 days in 2023. This indicates that the company is taking longer to settle its payables over this period.

It is important to further investigate the reasons behind this trend to determine whether it is attributed to deliberate management decisions, changes in supplier terms, or potential issues in the company's liquidity. Additionally, comparing this trend to industry benchmarks and peers' performance can provide further insights into the company's payables management.

Overall, while the increase in the number of days of payables can indicate a potential strain on liquidity or supplier relationships, in-depth analysis is necessary to fully understand the implications of this trend on Cooper Companies, Inc.'s financial performance and working capital management.

Peer comparison

Oct 31, 2023