Switch to:
ARC Document Solutions Inc (NYSE:ARC)
Days Inventory
26.65 (As of Sep. 2016)

ARC Document Solutions Inc's average inventory for the three months ended in Sep. 2016 was $19.8 Mil. ARC Document Solutions Inc's cost of goods sold for the three months ended in Sep. 2016 was $67.7 Mil. Hence, ARC Document Solutions Inc's days inventory for the three months ended in Sep. 2016 was 26.65.

ARC' s Days Inventory Range Over the Past 10 Years
Min: 9.74   Max: 24.74
Current: 24.74

9.74
24.74

During the past 8 years, ARC Document Solutions Inc's highest Days Inventory was 24.74. The lowest was 9.74. And the median was 15.72.

ARC's Days Inventory is ranked lower than
55% of the 434 Companies
in the Global Business Services industry.

( Industry Median: 18.21 vs. ARC: 24.74 )

ARC Document Solutions Inc's days inventory increased from Sep. 2015 (23.94) to Sep. 2016 (26.65). It might indicate that ARC Document Solutions Inc's sales slowed down.

Inventory can be measured by Days Sales of Inventory (DSI). ARC Document Solutions Inc's days sales of inventory (DSI) for the three months ended in Sep. 2016 was 17.97.

Inventory turnover measures how fast the company turns over its inventory within a year. ARC Document Solutions Inc's inventory turnover for the three months ended in Sep. 2016 was 3.42.

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. ARC Document Solutions Inc's inventory to revenue ratio for the three months ended in Sep. 2016 was 0.20.


Definition

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

ARC Document Solutions Inc'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
=( (16.251 + 16.972) / 2 ) / 280.541*365
=16.6115 / 280.541*365
=21.61

ARC Document Solutions Inc's Days Inventory for the quarter that ended in Sep. 2016 is calculated as:

Days Inventory (Q: Sep. 2016 )
=Average Inventory / COGS*Days in Period
=( (Inventory (Q: Jun. 2016 ) + Inventory (Q: Sep. 2016 )) / 2 ) / COGS (Q: Sep. 2016 )*Days in Period
=( (19.57 + 19.981) / 2 ) / 67.713*365 / 4
=19.7755 / 67.713*365 / 4
=26.65

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's 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).

ARC Document Solutions Inc's Days Sales of Inventory for the three months ended in Sep. 2016 is calculated as

Days Sales of Inventory (DSI)=Average Inventory/Revenue*Days in Period
=19.7755/100.443*365 / 4
=17.97

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

ARC Document Solutions Inc's Inventory Turnover for the three months ended in Sep. 2016 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.

ARC Document Solutions Inc's Inventory to Revenue for the three months ended in Sep. 2016 is calculated as

Inventory to Revenue=Average Inventory / Revenue
=19.7755 / 100.443
=0.20

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's 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 local exchange's currency.

ARC Document Solutions Inc Annual Data

Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
DaysInventory 0.000.009.7412.2512.9814.4217.0218.9319.7821.61

ARC Document Solutions Inc Quarterly Data

Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16Jun16Sep16
DaysInventory 20.9820.8020.3522.4522.9523.9422.9423.2025.8026.65
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
FEEDBACK