Stanley Black & Decker Inc (SWK)
Days of inventory on hand (DOH)
| Dec 31, 2023 | Dec 31, 2022 | Dec 31, 2021 | Dec 31, 2020 | Dec 31, 2019 | ||
|---|---|---|---|---|---|---|
| Inventory turnover | 3.46 | 2.16 | 1.88 | 3.16 | 3.60 | |
| DOH | days | 105.53 | 168.94 | 194.15 | 115.43 | 101.52 |
December 31, 2023 calculation
DOH = 365 ÷ Inventory turnover
= 365 ÷ 3.46
= 105.53
The days of inventory on hand (DOH) for Stanley Black & Decker Inc have shown fluctuations over the past five years. In 2023, the DOH decreased significantly to 105.53 days from 168.94 days in 2022. This reduction indicates that the company was able to manage its inventory more efficiently, possibly by improving inventory turnover or streamlining its supply chain.
Comparing 2023 to 2021, there was a substantial decrease in DOH from 194.15 days to 105.53 days. This signifies a significant improvement in inventory management practices within the company over this period.
When comparing 2023 to 2020, the DOH decreased from 115.43 days to 105.53 days, indicating a slight improvement in inventory management efficiency year over year.
Lastly, comparing 2023 to 2019, the DOH increased from 101.52 days to 105.53 days. Although there was a slight increase in DOH, the overall level remains relatively consistent, suggesting that the company has maintained a stable inventory management performance over this longer timeframe.
Overall, the trend in the DOH for Stanley Black & Decker Inc indicates improvements in inventory management efficiency in recent years, with the company successfully reducing the number of days it takes to sell its inventory. This could lead to cost savings, better cash flow management, and improved profitability for the organization.
Peer comparison
Dec 31, 2023