Dell Technologies Inc (DELL)

Short-term

Turnover ratios

Based on the activity ratios provided for Dell Technologies Inc, we can observe the following trends:

1. Inventory turnover:
- Dell's inventory turnover ratio has been relatively steady over the past few quarters, ranging between 11.97 to 20.66.
- The company's ability to turn over its inventory improved in the most recent quarter compared to the previous ones, indicating more efficient inventory management.

2. Receivables turnover:
- Dell's receivables turnover ratio fluctuates significantly, ranging from 4.83 to 20.08, with some quarters showing missing data.
- The turnover of receivables has generally been improving over time, with higher turnover ratios reflecting a faster collection of receivables.

3. Payables turnover:
- Dell's payables turnover ratio has varied between 2.86 to 4.28, with occasional missing data points.
- The company's payables turnover has been relatively stable, indicating a consistent approach to managing its payables.

4. Working capital turnover:
- Data is missing for the working capital turnover, suggesting that this specific activity ratio might not be calculated or reported by the company.

Overall, Dell Technologies Inc has shown efficiency in managing its inventory and improving the turnover of receivables over time. The stability in payables turnover reflects a consistent approach to managing payables. However, the lack of data for working capital turnover makes it challenging to assess this specific aspect of the company's operations.

---

Average number of days

Dell Technologies Inc's activity ratios reflect the efficiency of its operations in managing inventory, collecting receivables, and paying suppliers.

1. Days of Inventory on Hand (DOH): Dell's DOH has shown some fluctuation over the periods analyzed, ranging from a low of 17.67 days to a high of 30.49 days. The trend indicates a general decrease in the number of days it takes for Dell to sell its inventory, which is a positive sign as it can help free up capital tied up in inventory and improve cash flow.

2. Days of Sales Outstanding (DSO): Dell's DSO has varied significantly, with a low of 18.18 days and a high of 75.56 days. The lower the DSO, the faster Dell is collecting its accounts receivable, which is essential for maintaining healthy cash flows. The fluctuation in DSO may suggest changes in Dell's credit policies or the efficiency of its collection efforts.

3. Number of Days of Payables: Dell's days of payables have also shown some variability, with a range from 86.39 days to 127.54 days. A higher number of days indicates that Dell is taking longer to pay its suppliers, potentially benefiting from longer credit terms. However, overly extending payment periods may strain relationships with suppliers and affect Dell's ability to negotiate favorable terms in the future.

Overall, Dell's activity ratios suggest a focus on efficiently managing inventory and receivables, although careful attention may be needed to balance these with payment terms to suppliers for sustainable relationships.

---

See also:

Dell Technologies Inc Short-term (Operating) Activity Ratios (Quarterly Data)

---

Long-term

Based on the provided long-term activity ratios for Dell Technologies Inc, we can observe the following trends:

1. Fixed Asset Turnover:
- Dell's fixed asset turnover has generally remained high and stable over the period, ranging from 13.60 to 18.99. This indicates that the company is efficiently utilizing its fixed assets to generate revenue.
- The highest fixed asset turnover was observed in Feb 3, 2023, with a ratio of 18.53, suggesting optimal efficiency in generating sales from its fixed assets.
- Despite minor fluctuations, the trend shows a consistent ability to generate sales relative to its investment in fixed assets, reflecting operational efficiency in utilizing long-term assets.

2. Total Asset Turnover:
- The total asset turnover for Dell has shown fluctuations but generally remained above 1.00, implying that the company is effectively utilizing its total assets to generate revenue.
- The highest total asset turnover was observed in Oct 28, 2022, with a ratio of 1.24, indicating efficient use of both fixed and current assets to generate sales.
- While there are minor variations, the trend suggests that Dell has been successful in generating revenue relative to its total assets, showcasing effectiveness in asset utilization.

Overall, Dell Technologies Inc has demonstrated strong efficiency in utilizing both fixed and total assets to drive sales, as indicated by the high turnover ratios. The company's consistent performance in asset turnover reflects solid operational efficiency and effectiveness in maximizing revenue generation from its asset base.

---

See also:

Dell Technologies Inc Long-term (Investment) Activity Ratios (Quarterly Data)