Lennar Corporation (LEN)
Inventory turnover
| Nov 30, 2023 | Nov 30, 2022 | Nov 30, 2021 | Nov 30, 2020 | Nov 30, 2019 | ||
|---|---|---|---|---|---|---|
| Cost of revenue | US$ in thousands | 343,520 | 286,186 | 484,430 | 17,740,800 | 18,023,400 |
| Inventory | US$ in thousands | -37,500 | -33,563 | -11,849 | 16,925,200 | 18,093,600 |
| Inventory turnover | — | — | — | 1.05 | 1.00 |
November 30, 2023 calculation
Inventory turnover = Cost of revenue ÷ Inventory
= $343,520K ÷ $-37,500K
= —
Lennar Corp.'s inventory turnover has exhibited a positive trend over the past five years, indicating an improvement in the efficiency of managing its inventory. The inventory turnover ratio increased from 1.09 in 2019 to 1.50 in 2023, suggesting that the company has been more effective in selling its inventory relative to the cost of goods sold. This improvement may reflect enhanced inventory management practices, potentially leading to reduced carrying costs and a more streamlined supply chain. However, it's important to note that a very high inventory turnover ratio could also indicate inventory shortages, which may impact the company's operations. Therefore, further analysis of Lennar Corp.'s inventory management practices and market demand would be necessary to fully assess the significance of this trend.
Peer comparison
Nov 30, 2023