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Constellation Brands Inc (NYSE:STZ)
Days Inventory
174.28 (As of Aug. 2014)

Constellation Brands Inc's average inventory for the three months ended in Aug. 2014 was $1,780 Mil. Constellation Brands Inc's cost of goods sold for the three months ended in Aug. 2014 was $932 Mil. Hence, Constellation Brands Inc's days inventory for the three months ended in Aug. 2014 was 174.28.

Constellation Brands Inc's days inventory increased from Aug. 2013 (159.53) to Aug. 2014 (174.28). It might indicate that Constellation Brands Inc's sales slowed down.

Inventory can be measured by Days Sales of Inventory (DSI). Constellation Brands Inc's days sales of inventory (DSI) for the three months ended in Aug. 2014 was 101.27.

Inventory turnover measures how fast the company turns over its inventory within a year. Constellation Brands Inc's inventory turnover for the three months ended in Aug. 2014 was 0.52.

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. Constellation Brands Inc's inventory to revenue ratio for the three months ended in Aug. 2014 was 1.11.


Definition

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

Constellation Brands Inc's Days Inventory for the fiscal year that ended in Feb. 2014 is calculated as

Days Inventory
=( (Inventory (A: Feb. 2013 )+Inventory (A: Feb. 2014 ))/ 2 )/Cost of Goods Sold*Days in Period
=( (1480.9+1743.8)/ 2 )/2876*365
=1612.35/2876*365
=204.63

Constellation Brands Inc's Days Inventory for the quarter that ended in Aug. 2014 is calculated as:

Days Inventory
=( (Inventory (Q: May. 2014 )+Inventory (Q: Aug. 2014 ))/ 2 )/Cost of Goods Sold*Days in Period
=( (1781.5+1778.9)/ 2 )/932.1*365 / 4
=1780.2/932.1*365 / 4
=174.28

* 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).

Constellation Brands Inc's Days Sales of Inventory for the three months ended in Aug. 2014 is calculated as

Days Sales of Inventory (DSI)=Average Inventory/Revenue*Days in Period
=1780.2/1604.1*365 / 4
=101.27

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

Constellation Brands Inc's Inventory Turnover for the three months ended in Aug. 2014 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.

Constellation Brands Inc's Inventory to Revenue for the three months ended in Aug. 2014 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.

Constellation Brands Inc Annual Data

Feb05Feb06Feb07Feb08Feb09Feb10Feb11Feb12Feb13Feb14
DaysInventory 177.67184.35180.52302.34301.70304.87276.85314.50308.75204.63

Constellation Brands Inc Quarterly Data

May12Aug12Nov12Feb13May13Aug13Nov13Feb14May14Aug14
DaysInventory 320.60296.89296.22323.42319.77159.53189.76219.29187.92174.28
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