Hormel Foods Corporation (HRL)
Days of inventory on hand (DOH)
| Oct 27, 2024 | Jul 28, 2024 | Apr 28, 2024 | Jan 28, 2024 | Oct 29, 2023 | Jul 30, 2023 | Apr 30, 2023 | Jan 29, 2023 | Oct 30, 2022 | Jul 31, 2022 | May 1, 2022 | Jan 30, 2022 | Oct 31, 2021 | Jul 25, 2021 | Apr 25, 2021 | Jan 24, 2021 | Oct 25, 2020 | Jul 26, 2020 | Apr 26, 2020 | Jan 26, 2020 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 6.93 | 6.67 | 6.63 | 7.06 | 6.61 | 6.39 | 6.36 | 6.45 | 6.53 | 6.78 | 7.08 | 7.84 | 7.55 | 6.57 | 7.20 | 7.97 | 7.98 | 8.76 | 8.10 | 7.94 | |
| DOH | days | 52.65 | 54.73 | 55.08 | 51.72 | 55.22 | 57.13 | 57.42 | 56.55 | 55.92 | 53.84 | 51.58 | 46.56 | 48.35 | 55.54 | 50.68 | 45.79 | 45.71 | 41.69 | 45.07 | 45.95 |
October 27, 2024 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 6.93
= 52.65
Hormel Foods Corporation's days of inventory on hand (DOH) has shown some fluctuations over the past few years. The DOH ranged from a low of 41.69 days on Jan 24, 2021, to a high of 57.42 days on Apr 30, 2023. Overall, the trend appears to have been relatively stable, with some minor fluctuations, indicating that the company has been effective in managing its inventory levels.
It is worth noting that on average, Hormel Foods Corporation has held inventory for approximately 50-55 days over the past few years. This suggests that the company has been able to strike a balance between ensuring product availability and managing inventory carrying costs efficiently.
The DOH metric can be influenced by various factors such as demand fluctuations, production efficiency, and supply chain management. The slight variations in DOH over the years may reflect changes in these factors and the company's efforts to optimize its inventory management strategies.
Overall, based on the historical data provided, Hormel Foods Corporation appears to have maintained a reasonable level of days of inventory on hand, which indicates a balanced approach to managing its inventory effectively.