GURUFOCUS.COM » STOCK LIST » Technology » Software » Datawatch Corp (NAS:DWCH) » Definitions » Cash Conversion Cycle

Datawatch (Datawatch) Cash Conversion Cycle : -37.36 (As of Sep. 2018)


View and export this data going back to 1992. Start your Free Trial

What is Datawatch Cash Conversion Cycle?

Cash Conversion Cycle is one of several measures of management effectiveness. It equals Days Sales Outstanding + Days Inventory - Days Payable.

Datawatch's Days Sales Outstanding for the three months ended in Sep. 2018 was 70.26.
Datawatch's Days Inventory for the three months ended in Sep. 2018 was 0.
Datawatch's Days Payable for the three months ended in Sep. 2018 was 107.62.
Therefore, Datawatch's Cash Conversion Cycle (CCC) for the three months ended in Sep. 2018 was -37.36.


Datawatch Cash Conversion Cycle Historical Data

The historical data trend for Datawatch's Cash Conversion Cycle can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Datawatch Cash Conversion Cycle Chart

Datawatch Annual Data
Trend Sep09 Sep10 Sep11 Sep12 Sep13 Sep14 Sep15 Sep16 Sep17 Sep18
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only 14.77 11.54 -36.53 -105.42 -89.56

Datawatch Quarterly Data
Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18
Cash Conversion Cycle Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -134.96 -120.20 -26.96 -19.03 -37.36

Competitive Comparison of Datawatch's Cash Conversion Cycle

For the Software - Application subindustry, Datawatch's Cash Conversion Cycle, along with its competitors' market caps and Cash Conversion Cycle data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Datawatch's Cash Conversion Cycle Distribution in the Software Industry

For the Software industry and Technology sector, Datawatch's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Datawatch's Cash Conversion Cycle falls into.



Datawatch Cash Conversion Cycle Calculation

Cash Conversion Cycle (CCC) measures how fast a company can convert cash on hand into even more cash on hand. This metric looks at the amount of time needed to sell inventory, the amount of time needed to collect receivables and the length of time the company is afforded to pay its bills without incurring penalties.

Cash Conversion Cycle is one of several measures of management effectiveness.

Datawatch's Cash Conversion Cycle for the fiscal year that ended in Sep. 2018 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=74.91+0-164.47
=-89.56

Datawatch's Cash Conversion Cycle for the quarter that ended in Sep. 2018 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=70.26+0-107.62
=-37.36

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Datawatch  (NAS:DWCH) Cash Conversion Cycle Explanation

Generally, the lower this number is, the better for the company. Although it should be combined with other metrics (such as ROE % and ROA %), it can be especially useful for comparing close competitors, because the company with the lowest CCC is often the one with better management.


Be Aware

CCC is most effective with retail-type companies, which have inventories that are sold to customers. Consulting businesses, software companies and insurance companies are all examples of companies for whom this metric is meaningless.

The CCC is one of several tools that can help you evaluate management, especially if it is calculated for several consecutive time periods and for several competitors. Decreasing or steady CCCs are good, while rising ones should motivate you to dig a bit deeper.


Datawatch Cash Conversion Cycle Related Terms

Thank you for viewing the detailed overview of Datawatch's Cash Conversion Cycle provided by GuruFocus.com. Please click on the following links to see related term pages.


Datawatch (Datawatch) Business Description

Traded in Other Exchanges
N/A
Address
Datawatch Corp designs, develops, markets and distributes self-service data preparation and visual data discovery software which deliver analytics to reveal insights for improving business. Its product portfolio includes Monarch, Monarch swarm, Monarch server, Panopticon. The company also provides Educational, Professional and Customer support services. It offers its products to the industries such as Banking, Credit unions, Healthcare, Manufacturing, Retail Telecom, Energy etc. It derives the majority of its revenues from Software licenses and Maintenance.
Executives
Osborne Richard De J director 40 EAST 94TH STREET, NEW YORK NY 10128
Thomas H Kelly director SCHERING PLOUGH CORP, ONE GIRALDA FARMS, MADISON NJ 07940-1000
Joan C Mcardle director
Christopher T Cox director CADWALADER, WICKERSHAM & TAFT LLP, ONE WORLD FINANCIAL CENTER, NEW YORK NY 10281
G2 Investment Partners Management Llc 10 percent owner ONE ROCKEFELLER PLAZA, 23RD FLOOR, NEW YORK NY 10020
Josh Goldberg 10 percent owner ONE ROCKEFELLER PLAZA, 23RD FLOOR, NEW YORK NY 10020
G2 Investment Partners Gp Llc 10 percent owner 14 WEST 49TH STREET, 23RD FLOOR, NEW YORK NY 10020
Charles M Gillman director 1223 WILSHIRE BOULEVARD, OFFICE 648, SANTA MONICA CA 90402
David T Riddiford director 25 FRONTAGE ROAD, ANDOVER MA 01810
John Hulburt director, officer: VP Fin, CFO, Treas & Ass. Sec.
Diker Management Llc other: Former 10% Owner 570 LEXINGTON AVENUE, 27TH FLOOR, NEW YORK NY 10022

Datawatch (Datawatch) Headlines

From GuruFocus

Datawatch Corp. (DWCH) CEO Michael Anthony Morrison buys 14,882 Shares

By GuruFocus Research GuruFocus Editor 03-03-2011