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Nike Inc (NYSE:NKE)
Days Inventory
89.97 (As of Feb. 2014)

Nike Inc's inventory for the three months ended in Feb. 2014 was \$3,825 Mil. Nike Inc's cost of goods sold for the three months ended in Feb. 2014 was \$3,869 Mil. Hence, Nike Inc's days inventory for the three months ended in Feb. 2014 was 89.97.

Nike Inc's days inventory increased from Feb. 2013 (87.78) to Feb. 2014 (89.97). It might indicate that Nike Inc's sales slowed down.

Inventory can be measured by Days Sales of Inventory (DSI). Nike Inc's days sales of inventory (DSI) for the three months ended in Feb. 2014 was 49.92.

Inventory turnover measures how fast the company turns over its inventory within a year. Nike Inc's inventory turnover for the three months ended in Feb. 2014 was 1.01.

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. Nike Inc's inventory to revenue ratio for the three months ended in Feb. 2014 was 0.55.

Definition

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

Nike Inc's Days Inventory for the fiscal year that ended in May. 2013 is calculated as

 Days Inventory = Inventory / Cost of Goods Sold * Days in Period = 3434 / 14279 * 365 = 87.78

Nike Inc's Days Inventory for the quarter that ended in Feb. 2014 is calculated as:

 Days Inventory = Inventory / Cost of Goods Sold * Days in Period = 3825 / 3869 * 91 = 89.97

* 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).

Nike Inc's Days Sales of Inventory for the three months ended in Feb. 2014 is calculated as

 Days Sales of Inventory (DSI) = Inventory / Revenue * Days in Period = 3825 / 6972 * 91 = 49.92

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

Nike Inc's Inventory Turnover for the three months ended in Feb. 2014 is calculated as

 Inventory Turnover = Cost of Goods Sold / Average Inventory = 3869 / 3825 = 1.01

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.

Nike Inc's Inventory to Revenue for the three months ended in Feb. 2014 is calculated as

 Inventory to Revenue = Inventory / Revenue = 3825 / 6972 = 0.55

* 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

Historical Data

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

Nike Inc Annual Data

 May05 May06 May07 May08 May09 May10 May11 May12 May13 May14 DaysInventory 86.70 90.58 84.50 86.92 81.38 72.93 90.79 89.21 87.78 93.84

Nike Inc Quarterly Data

 Feb12 May12 Aug12 Nov12 Feb13 May13 Aug13 Nov13 Feb14 May14 DaysInventory 96.31 82.20 85.13 88.16 87.78 83.18 82.30 93.27 89.97 88.91
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