Walmart Inc (WMT)

Activity ratios

Short-term

Turnover ratios

	Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020	Jan 31, 2020	Oct 31, 2019	Jul 31, 2019	Apr 30, 2019
Inventory turnover	8.93	7.56	8.43	8.29	8.20	7.01	7.40	7.06	7.59	7.46	8.88	9.09	9.35	7.96	9.94	9.79	8.88	7.60	8.81	8.64
Receivables turnover	73.68	74.06	79.94	81.34	77.06	73.02	78.15	75.06	69.17	77.83	92.77	97.09	85.81	95.10	106.05	106.32	83.38	92.85	96.24	96.53
Payables turnover	8.63	7.92	8.45	8.70	8.63	7.93	8.18	8.17	7.76	7.50	8.55	8.75	8.55	7.62	8.81	9.15	8.40	7.87	8.48	8.57
Working capital turnover	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—	—

Based on the data provided, we can see that Walmart Inc's inventory turnover ratio has shown some fluctuations over the past several quarters but generally remains within a range of 7 to 9 times per year. This indicates that the company is managing its inventory efficiently, with a higher turnover rate suggesting effective inventory management.

In terms of receivables turnover, Walmart Inc has consistently maintained a high turnover ratio, ranging between 69 to 106 times per year. This indicates that the company is effectively collecting outstanding receivables in a timely manner, which can help improve cash flow and working capital management.

The payables turnover ratio for Walmart Inc also shows stability over time, fluctuating around 7 to 9 times per year. A higher payables turnover ratio suggests that the company is efficiently managing its payments to suppliers, potentially taking advantage of trade credit terms.

Unfortunately, data for the working capital turnover ratio is not available, preventing a comprehensive analysis of the company's efficiency in utilizing its working capital.

Overall, based on the activity ratios analyzed, Walmart Inc appears to be effectively managing its inventory, receivables, and payables, which is crucial for maintaining a healthy cash flow and operational efficiency.

Average number of days

		Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020	Jan 31, 2020	Oct 31, 2019	Jul 31, 2019	Apr 30, 2019
Days of inventory on hand (DOH)	days	40.88	48.25	43.30	44.01	44.53	52.04	49.34	51.66	48.08	48.94	41.10	40.16	39.03	45.84	36.72	37.28	41.10	48.02	41.41	42.25
Days of sales outstanding (DSO)	days	4.95	4.93	4.57	4.49	4.74	5.00	4.67	4.86	5.28	4.69	3.93	3.76	4.25	3.84	3.44	3.43	4.38	3.93	3.79	3.78
Number of days of payables	days	42.31	46.06	43.19	41.95	42.30	46.06	44.63	44.66	47.02	48.66	42.69	41.69	42.67	47.88	41.41	39.88	43.45	46.35	43.04	42.59

Days of inventory on hand (DOH) is a measure of how efficiently Walmart manages its inventory. A lower number indicates that the company is selling goods quickly and not holding excess inventory, which is positive as it reduces carrying costs.

Days of sales outstanding (DSO) measures how quickly Walmart collects payment from its customers. A lower DSO implies that the company is efficient in collecting cash from sales, which is beneficial for its cash flow and liquidity.

Number of days of payables represents how long Walmart takes to pay its suppliers. A higher number suggests that the company is taking longer to settle its payables, which could indicate good negotiation power with suppliers but may also potentially strain relationships.

Overall, based on the activity ratios provided, Walmart seems to be managing its inventory effectively, collecting cash from sales efficiently, and potentially leveraging its position with suppliers to its advantage. Tracking these ratios over time can help assess the company's operational performance and efficiency.

Long-term

	Jan 31, 2024	Oct 31, 2023	Jul 31, 2023	Apr 30, 2023	Jan 31, 2023	Oct 31, 2022	Jul 31, 2022	Apr 30, 2022	Jan 31, 2022	Oct 31, 2021	Jul 31, 2021	Apr 30, 2021	Jan 31, 2021	Oct 31, 2020	Jul 31, 2020	Apr 30, 2020	Jan 31, 2020	Oct 31, 2019	Jul 31, 2019	Apr 30, 2019
Fixed asset turnover	5.85	5.94	6.02	6.08	6.07	6.15	6.12	6.08	6.06	6.20	6.18	6.19	6.06	5.37	5.36	5.25	4.98	4.99	4.95	4.93
Total asset turnover	2.57	2.46	2.47	2.54	2.51	2.42	2.38	2.34	2.34	2.34	2.37	2.38	2.21	2.19	2.28	2.30	2.22	2.17	2.21	2.20

The fixed asset turnover ratio for Walmart Inc has remained relatively stable over the past two years, ranging between 5.85 and 6.20. This indicates that the company generates sales efficiently from its investment in fixed assets such as property, plant, and equipment.

In contrast, the total asset turnover ratio has fluctuated more, with values ranging from 2.17 to 2.57. However, the trend shows an overall improvement in asset utilization efficiency over the period analyzed. This suggests that Walmart Inc has been more effective in generating revenue from its total assets, including both fixed and current assets.

Overall, the company's ability to generate sales from its assets, both fixed and total, has been strong and improving, reflecting efficient operations and effective management of assets.