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Abbott Laboratories (NYSE:ABT)
Days Inventory
108.21 (As of Dec. 2015)

Abbott Laboratories's average inventory for the three months ended in Dec. 2015 was $2,616 Mil. Abbott Laboratories's cost of goods sold for the three months ended in Dec. 2015 was $2,206 Mil. Hence, Abbott Laboratories's days inventory for the three months ended in Dec. 2015 was 108.21.

ABT' s Days Inventory Range Over the Past 10 Years
Min: 76.02   Max: 117.9
Current: 109.7

76.02
117.9

During the past 13 years, Abbott Laboratories's highest Days Inventory was 117.90. The lowest was 76.02. And the median was 88.71.

ABT's Days Inventory is ranked higher than
62% of the 286 Companies
in the Global Medical Devices industry.

( Industry Median: 136.13 vs. ABT: 109.70 )

Abbott Laboratories's days inventory increased from Dec. 2014 (104.23) to Dec. 2015 (108.21). It might indicate that Abbott Laboratories's sales slowed down.

Inventory can be measured by Days Sales of Inventory (DSI). Abbott Laboratories's days sales of inventory (DSI) for the three months ended in Dec. 2015 was 46.01.

Inventory turnover measures how fast the company turns over its inventory within a year. Abbott Laboratories's inventory turnover for the three months ended in Dec. 2015 was 0.84.

Inventory to revenue ratio determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue. Abbott Laboratories's inventory to revenue ratio for the three months ended in Dec. 2015 was 0.50.


Definition

Days Inventory indicates the number of days of goods in sales that a company has in the inventory.

Abbott Laboratories's Days Inventory for the fiscal year that ended in Dec. 2015 is calculated as

Days Inventory (A: Dec. 2015 )
=Average Inventory / COGS*Days in Period
=( (Inventory (A: Dec. 2014 ) + Inventory (A: Dec. 2015 )) / 2 ) / COGS (A: Dec. 2015 )*Days in Period
=( (2643 + 2599) / 2 ) / 8747*365
=2621 / 8747*365
=109.37

Abbott Laboratories's Days Inventory for the quarter that ended in Dec. 2015 is calculated as:

Days Inventory (Q: Dec. 2015 )
=Average Inventory / COGS*Days in Period
=( (Inventory (Q: Sep. 2015 ) + Inventory (Q: Dec. 2015 )) / 2 ) / COGS (Q: Dec. 2015 )*Days in Period
=( (2633 + 2599) / 2 ) / 2206*365 / 4
=2616 / 2206*365 / 4
=108.21

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Explanation

An increase of Days Inventory may indicate the company's sales slowed.

1. Inventory can be measured by Days Sales of Inventory (DSI).

Abbott Laboratories's Days Sales of Inventory for the three months ended in Dec. 2015 is calculated as

Days Sales of Inventory (DSI)=Average Inventory/Revenue*Days in Period
=2616/5188*365 / 4
=46.01

2. Inventory Turnover measures how fast the company turns over its inventory within a year.

Abbott Laboratories's Inventory Turnover for the three months ended in Dec. 2015 is calculated as

3. Inventory to Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue.

Abbott Laboratories's Inventory to Revenue for the three months ended in Dec. 2015 is calculated as

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Be Aware

A lot of business are seasonable. It makes more sense to compare Days Inventory from the same period in the previous year instead of from the previous quarter.


Related Terms

Cost of Goods Sold, Inventory, Revenue, Inventory Turnover, Inventory to Revenue


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Abbott Laboratories Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
DaysInventory 99.4592.0082.8883.4680.3176.0285.42117.90105.64109.37

Abbott Laboratories Quarterly Data

Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16
DaysInventory 107.23109.71111.63108.58104.23115.45110.22109.24108.2155.41
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