Edison International (EIX)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 0.09 | 0.09 | 0.09 | -0.41 | 0.29 | |
| DOH | days | 4,092.66 | 4,119.29 | 3,930.77 | — | 1,241.68 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 0.09
= 4,092.66
Days of Inventory on Hand (DOH) measures how many days it takes for a company to sell its average inventory balance. The lower the DOH, the quicker the company is turning over its inventory, which is generally more favorable as it signifies efficient inventory management.
Unfortunately, without specific values for each year in the table provided, it is not possible to analyze the trend of Edison International's DOH over the years. To assess the efficiency of inventory management, a lower DOH compared to previous years would indicate an improvement in inventory turnover and efficiency. Conversely, a higher DOH than previous years would suggest a slowdown in inventory turnover, potentially causing carrying costs and tying up capital.
Therefore, it is crucial to compare the DOH of Edison International in 2023 with previous years or with industry averages to gain insights into the company's inventory management effectiveness and efficiency.
Peer comparison
Dec 31, 2023