The Cooper Companies, Inc. Common Stock (COO)
Cash conversion cycle
| Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Jan 31, 2024 | Oct 31, 2023 | Jul 31, 2023 | Apr 30, 2023 | Jan 31, 2023 | Oct 31, 2022 | Jul 31, 2022 | Apr 30, 2022 | Jan 31, 2022 | Oct 31, 2021 | Jul 31, 2021 | Apr 30, 2021 | Jan 31, 2021 | Oct 31, 2020 | Jul 31, 2020 | Apr 30, 2020 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Days of inventory on hand (DOH) | days | 96.55 | 94.59 | 95.04 | 91.42 | 91.87 | 121.31 | 120.77 | 117.04 | 114.26 | 77.88 | 76.69 | 78.41 | 81.17 | 83.75 | 88.20 | 89.54 | 90.02 | 109.03 | 102.53 | 108.45 |
| Days of sales outstanding (DSO) | days | 67.70 | 71.97 | 68.90 | 66.80 | 63.80 | 67.81 | 62.21 | 64.72 | 63.05 | 62.50 | 62.52 | 63.98 | 64.99 | 69.09 | 67.72 | 68.98 | 66.20 | 68.21 | 53.82 | 56.34 |
| Number of days of payables | days | 31.33 | 26.95 | 28.28 | 24.74 | 32.71 | 38.01 | 41.88 | 39.79 | 45.22 | 28.47 | 23.38 | 19.87 | 22.37 | 21.80 | 21.46 | 21.56 | 27.77 | 33.03 | 23.22 | 29.19 |
| Cash conversion cycle | days | 132.92 | 139.62 | 135.66 | 133.48 | 122.96 | 151.12 | 141.10 | 141.97 | 132.09 | 111.92 | 115.82 | 122.52 | 123.79 | 131.05 | 134.46 | 136.95 | 128.44 | 144.21 | 133.13 | 135.60 |
October 31, 2024 calculation
Cash conversion cycle = DOH + DSO – Number of days of payables
= 96.55 + 67.70 – 31.33
= 132.92
The cash conversion cycle of The Cooper Companies, Inc. Common Stock has shown some fluctuations over the recent quarters. The company's cash conversion cycle, which represents the time it takes for a company to convert its investments in inventory and other resources into cash flows from sales, was relatively stable around 130-140 days between the period of January 2020 and October 2023. However, there was a notable increase in the cash conversion cycle in the following quarters, reaching a peak of 151.12 days in July 2023.
After the peak in July 2023, there was a gradual decline in the cash conversion cycle, suggesting improvements in the company's management of inventory, accounts receivable, and accounts payable. By October 2024, the cash conversion cycle had decreased to 132.92 days.
Overall, the company's cash conversion cycle trend indicates that it has been working on optimizing its working capital management processes to enhance efficiency and liquidity. This improvement in the cash conversion cycle is a positive sign as it signifies the company's ability to generate cash flows more effectively from its operational activities. Further monitoring of this metric will be essential to assess the company's ongoing financial health and operational efficiency.
Peer comparison
Oct 31, 2024