Goodyear Tire & Rubber Co (GT)
Days of inventory on hand (DOH)
| Dec 31, 2024 | Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 4.22 | 4.48 | 3.71 | 3.81 | 4.80 | |
| DOH | days | 86.51 | 81.52 | 98.41 | 95.81 | 76.02 |
December 31, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 4.22
= 86.51
The days of inventory on hand (DOH) for Goodyear Tire & Rubber Co has shown fluctuations over the years based on the provided data.
- As of December 31, 2020, the company had 76.02 days of inventory on hand, indicating that, on average, it took around 76 days to convert its inventory into sales.
- The DOH increased to 95.81 days by December 31, 2021, reflecting a potential slowing down in inventory turnover compared to the previous year.
- By December 31, 2022, the DOH further increased to 98.41 days, reaching its highest level in the given period. This suggests a longer time period for the company to sell off its inventory.
- Subsequently, the DOH decreased to 81.52 days by December 31, 2023, indicating a possible improvement in inventory management efficiency.
- As of December 31, 2024, the DOH slightly increased to 86.51 days, showing a moderate increase compared to the previous year.
Overall, the trend in Goodyear Tire & Rubber Co's DOH suggests fluctuations in inventory management efficiency over the years, with variations in the time taken to convert inventory into sales. A lower DOH typically indicates a more efficient inventory management system, while a higher DOH may suggest potential challenges in managing and selling inventory effectively.