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Operations

Inventory Turnover Calculator

Turnover ratio, days inventory outstanding and the cash tied up — see how much faster you could be cycling.

Inventory Data
$

Total COGS for the period

$

Inventory value at period start

$

Inventory value at period end

days

365 for annual, 90 for quarterly

Beginning Inventory$75,000
Ending Inventory$65,000
Average Inventory$70,000
COGS$500,000

Turnover Ratio

7.1x

Good

Times per period

Days Sales of Inventory

51

Days to sell through

Stock-to-Sales

0.14

Ratio

Cash Flow Impact

Capital Tied Up

$70,000

Average inventory value sitting in stock

Daily COGS Burn

$1370

Average cost of goods sold per day

Industry Benchmarks
IndustryTurnoverDSIvs You
Grocery14x26 days
↓ Slower
Fast Fashion8x46 days
↓ Slower
Apparel (general)4x91 days
↑ Faster
Electronics6x61 days
↑ Faster
Furniture3x122 days
↑ Faster
Ecommerce (avg)8x46 days
↓ Slower
Automotive Parts5x73 days
↑ Faster
Optimization Tips
  • Your turnover is healthy. Focus on demand forecasting to avoid stockouts.
  • Consider implementing just-in-time inventory for your fastest-moving products.

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