Sherwin-Williams Co (SHW)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 8.47 | 7.32 | 8.97 | 8.60 | 5.22 | |
| DOH | days | 43.08 | 49.89 | 40.70 | 42.44 | 69.92 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 8.47
= 43.08
Sherwin-Williams Co.'s days of inventory on hand (DOH) has fluctuated over the past five years. In 2023, the company had 69.17 days worth of inventory on hand, which was lower compared to the previous year's 74.76 days. This decrease in DOH could indicate better inventory management efficiency in 2023.
However, when looking at a longer trend, the DOH in 2023 was still higher compared to 2021 when it was 61.69 days. This suggests that Sherwin-Williams Co. may have slightly slower inventory turnover in 2023 compared to 2021.
Overall, fluctuations in DOH over the years indicate that the company's inventory management practices may have changed or been impacted by various factors such as changes in demand, production efficiency, or supply chain disruptions. It would be important for investors and analysts to further investigate the reasons behind these fluctuations to assess the effectiveness of Sherwin-Williams Co.'s inventory management strategies.
Peer comparison
Dec 31, 2023