NVR Inc (NVR)

Days of inventory on hand (DOH)

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Inventory turnover		0.00	0.02	0.02	0.02	0.03	0.01	0.02	0.02	0.02	0.01	0.01	0.01	0.01	0.02	0.02	0.02	0.02	0.00	0.00	0.00
DOH	days	148,035.69	21,569.40	21,708.49	16,456.17	12,702.63	34,583.70	24,143.97	23,039.15	22,920.23	27,528.47	31,888.94	30,122.22	27,300.28	18,616.33	19,901.09	18,521.17	17,224.35	174,218.83	126,279.60	114,845.05

December 31, 2024 calculation

DOH = 365 ÷ Inventory turnover
= 365 ÷ 0.00
= 148,035.69

The days of inventory on hand (DOH) for NVR Inc fluctuated over the period provided in the data. The company started with a relatively high DOH of 114,845.05 days in March 31, 2020, which increased to 174,218.83 days as of September 30, 2020. This indicates that NVR Inc may have been carrying excess inventory relative to its sales levels during this period.

However, from December 31, 2020, to June 30, 2021, there was a significant decrease in DOH, dropping to as low as 17,224.35 days. This suggests that the company managed to reduce its inventory levels effectively or experienced an increase in sales relative to its inventory levels, which is a positive sign of efficiency.

Subsequently, the DOH gradually increased again, reaching a peak of 148,035.69 days by December 31, 2024, signaling a considerable increase in inventory levels compared to sales. Such a high DOH value may indicate inefficiencies in inventory management, potentially leading to higher holding costs and the risk of obsolescence.

Overall, NVR Inc's DOH trend indicates fluctuations in inventory management efficiency over the period, with periods of both excess inventory and efficient inventory turnover. It would be advisable for the company to closely monitor its inventory levels to ensure optimal balance between holding costs and meeting customer demand.