NetApp Inc (NTAP)
Days of inventory on hand (DOH)
| Apr 30, 2025 | Jan 31, 2025 | Oct 31, 2024 | Jul 31, 2024 | Apr 30, 2024 | Apr 26, 2024 | Jan 31, 2024 | Jan 26, 2024 | Oct 31, 2023 | Oct 27, 2023 | Jul 31, 2023 | Jul 28, 2023 | Apr 30, 2023 | Apr 28, 2023 | Jan 31, 2023 | Jan 27, 2023 | Oct 31, 2022 | Oct 28, 2022 | Jul 31, 2022 | Jul 29, 2022 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Inventory turnover | 10.53 | 7.16 | 7.94 | 11.64 | 16.41 | 16.17 | 22.31 | 22.16 | 24.34 | 24.78 | 23.73 | 24.40 | 19.56 | 19.98 | 19.41 | 19.53 | 14.07 | 14.14 | 15.08 | 15.06 | |
| DOH | days | 34.66 | 51.00 | 45.97 | 31.36 | 22.24 | 22.58 | 16.36 | 16.47 | 15.00 | 14.73 | 15.38 | 14.96 | 18.66 | 18.27 | 18.80 | 18.69 | 25.95 | 25.81 | 24.20 | 24.24 |
April 30, 2025 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 10.53
= 34.66
Days of Inventory on Hand (DOH) is a financial ratio that measures the average number of days a company holds inventory before selling it. A lower DOH value indicates that a company is efficiently managing its inventory, while a higher value may suggest overstocking or slow-moving inventory.
Analyzing the DOH trend for NetApp Inc based on the provided data, we observe the following:
- From July 29, 2022, to October 31, 2023, the DOH remained relatively stable, fluctuating within the range of approximately 14 to 26 days. This indicates consistency in inventory management during this period.
- However, there was a notable decrease in DOH from January 27, 2023, to July 31, 2023, where the days of inventory on hand decreased from around 19 days to 15 days. This suggests an improvement in inventory turnover efficiency during these quarters.
- Subsequently, there was a slight increase in DOH from October 27, 2023, to April 30, 2024, with the ratio ranging between approximately 15 to 23 days. This could indicate a potential increase in inventory levels or a slowdown in inventory turnover during this period.
- The most significant increase in DOH occurred from January 31, 2024, to January 31, 2025, where the days of inventory on hand surged from around 16 days to 51 days. This substantial spike in DOH may raise concerns about inventory management inefficiencies, such as excess inventory or slowing sales.
- The DOH ratio decreased to 34.66 days by April 30, 2025, indicating a potential effort to address the elevated inventory levels observed in the previous quarters.
In conclusion, the analysis of NetApp Inc's Days of Inventory on Hand reveals fluctuations in inventory management efficiency over the analyzed period, with notable decreases and increases in the ratio. Monitoring this ratio is crucial for evaluating the company's inventory management effectiveness and operational performance.
Peer comparison
Apr 30, 2025