ITT Inc (ITT)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 3.78 | 3.87 | 4.33 | 4.70 | 4.93 | |
| DOH | days | 96.53 | 94.35 | 84.31 | 77.60 | 74.06 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 3.78
= 96.53
The Days of Inventory on Hand (DOH) for ITT Inc has shown a gradual increase over the past five years. In 2019, DOH stood at 74.06 days, indicating that on average, it took the company 74.06 days to sell its inventory. Subsequently, there was an increase to 77.60 days in 2020, 84.31 days in 2021, 94.35 days in 2022, and 96.53 days in 2023.
The increasing trend in DOH suggests that ITT Inc is taking longer to sell its inventory over the years. A higher number of days of inventory on hand may indicate overstocking, slow-moving inventory, or potential inefficiencies in inventory management. It is essential for the company to closely monitor its inventory levels and sales performance to optimize inventory turnover and maintain healthy liquidity.
Peer comparison
Dec 31, 2023