Home Depot Inc (HD)
Inventory turnover
| Jan 31, 2025 | Jan 31, 2024 | Jan 28, 2024 | Jan 31, 2023 | Jan 29, 2023 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 106,206,000 | 101,709,000 | 101,709,000 | 104,625,000 | 104,625,000 |
| Inventory | US$ in thousands | 23,451,000 | 20,976,000 | 20,976,000 | 24,886,000 | 24,886,000 |
| Inventory turnover | 4.53 | 4.85 | 4.85 | 4.20 | 4.20 |
January 31, 2025 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $106,206,000K ÷ $23,451,000K
= 4.53
Home Depot Inc's inventory turnover ratio has shown consistency in the past few years, ranging between 4.20 to 4.85 times. This indicates that the company efficiently manages its inventory levels relative to its sales volume. In particular, the improvement in inventory turnover from 4.20 in January 2024 to 4.85 in January 2024 suggests a more efficient utilization of inventory during that period. However, the slight decrease to 4.53 in January 2025 may indicate a potential slight inefficiency in managing inventory levels in relation to sales. Overall, a stable and relatively high inventory turnover ratio reflects Home Depot Inc's effective inventory management practices.
Peer comparison
Jan 31, 2025