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Forestar Group Inc (NYSE:FOR)
Days Inventory
2,040.41 (As of Mar. 2016)

Forestar Group Inc's average inventory for the three months ended in Mar. 2016 was $536.7 Mil. Forestar Group Inc's cost of goods sold for the three months ended in Mar. 2016 was $24.0 Mil. Hence, Forestar Group Inc's days inventory for the three months ended in Mar. 2016 was 2,040.41.

FOR' s Days Inventory Range Over the Past 10 Years
Min: 21.11   Max: 4413.28
Current: 636.39

21.11
4413.28

During the past 13 years, Forestar Group Inc's highest Days Inventory was 4413.28. The lowest was 21.11. And the median was 1907.82.

FOR's Days Inventory is ranked lower than
90% of the 1000 Companies
in the Global Real Estate - General industry.

( Industry Median: 37.06 vs. FOR: 636.39 )

Forestar Group Inc's days inventory increased from Mar. 2015 (1,777.37) to Mar. 2016 (2,040.41). It might indicate that Forestar Group Inc's sales slowed down.

Inventory can be measured by Days Sales of Inventory (DSI). Forestar Group Inc's days sales of inventory (DSI) for the three months ended in Mar. 2016 was 1,169.21.

Inventory turnover measures how fast the company turns over its inventory within a year. Forestar Group Inc's inventory turnover for the three months ended in Mar. 2016 was 0.04.

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. Forestar Group Inc's inventory to revenue ratio for the three months ended in Mar. 2016 was 12.81.


Definition

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

Forestar Group 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
=( (584.071 + 594.398) / 2 ) / 341.372*365
=589.2345 / 341.372*365
=630.02

Forestar Group Inc's Days Inventory for the quarter that ended in Mar. 2016 is calculated as:

Days Inventory (Q: Mar. 2016 )
=Average Inventory / COGS*Days in Period
=( (Inventory (Q: Dec. 2015 ) + Inventory (Q: Mar. 2016 )) / 2 ) / COGS (Q: Mar. 2016 )*Days in Period
=( (594.398 + 479.047) / 2 ) / 24.003*365 / 4
=536.7225 / 24.003*365 / 4
=2,040.41

* 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).

Forestar Group Inc's Days Sales of Inventory for the three months ended in Mar. 2016 is calculated as

Days Sales of Inventory (DSI)=Average Inventory/Revenue*Days in Period
=536.7225/41.888*365 / 4
=1,169.21

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

Forestar Group Inc's Inventory Turnover for the three months ended in Mar. 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.

Forestar Group Inc's Inventory to Revenue for the three months ended in Mar. 2016 is calculated as

Inventory to Revenue=Average Inventory / Revenue
=536.7225 / 41.888
=12.81

* 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.

Forestar Group Inc Annual Data

Dec06Dec07Dec08Dec09Dec10Dec11Dec12Dec13Dec14Dec15
DaysInventory 0.001,907.823,957.724,413.284,259.683,160.691,287.8721.11482.32630.02

Forestar Group Inc Quarterly Data

Dec13Mar14Jun14Sep14Dec14Mar15Jun15Sep15Dec15Mar16
DaysInventory 409.76504.27994.621,335.66624.541,777.37600.48502.23528.252,040.41
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