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. The Cato's Average Total Inventories for the quarter that ended in Jan. 2024 was $98.7 Mil. The Cato's Revenue for the
three
months ended in Jan. 2024 was $174.9 Mil.
The Cato's Inventory-to-Revenue for the quarter that ended in Jan. 2024 was 0.57.
The Cato's Inventory-to-Revenue for the quarter that ended in Jan. 2024
declined
from Oct. 2023 (0.61) to Oct. 2023 (0.57)
A decrease in the Inventory-to-Revenue from one quarter to next indicates that one of these is occurring:
1. investment in inventory is shrinking in relation to revenue
2. revenue are increasing
No matter which situation is causing the reduction in the Inventory-to-Revenue, either one suggests that business's inventory levels and its cash flow are effectively managed.
Days Inventory indicates the number of days of goods in sales that a company has in the inventory.
The Cato's Days Inventory for the
three
months ended in Jan. 2024 was 75.85.
Inventory Turnover measures how fast the company turns over its inventory within a year.
The Cato's Inventory Turnover for the quarter that ended in Jan. 2024 was 1.20.
The Cato Inventory-to-Revenue Historical Data
The historical data trend for The Cato's Inventory-to-Revenue 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.
Competitive Comparison of The Cato's Inventory-to-Revenue
For the Apparel Retail subindustry, The Cato's Inventory-to-Revenue, along with its competitors' market caps and Inventory-to-Revenue 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.
The Cato's Inventory-to-Revenue Distribution in the Retail - Cyclical Industry
For the Retail - Cyclical industry and Consumer Cyclical sector, The Cato's Inventory-to-Revenue distribution charts can be found below:
* The bar in red indicates where The Cato's Inventory-to-Revenue falls into.
The Cato Inventory-to-Revenue Calculation
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.
The Cato's Inventory-to-Revenue for the fiscal year that ended in Jan. 2024 is calculated as
* 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.
The Cato (NYSE:CATO) Inventory-to-Revenue Explanation
An increase in Inventory-to-Revenue from one quarter to the next indicates that one of the following is happening:
1. investment in inventory is growing more rapidly than revenue
2. revenue are dropping
No matter which situation is causing the problem, an increase in the Inventory-to-Revenue may signal an oncoming cash flow problem.
Likewise, a decrease in the Inventory-to-Revenue from one quarter to next indicates that one of these is occurring:
1. investment in inventory is shrinking in relation to revenue
2. revenue are increasing
No matter which situation is causing the reduction in the Inventory-to-Revenue, either one suggests that business's inventory levels and its cash flow are effectively managed.
More Related Terms:
1. Days Inventory indicates the number of days of goods in sales that a company has in the inventory.
The Cato's Days Inventory for the
three
months ended in Jan. 2024 is calculated as:
* 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.
The Cato Inventory-to-Revenue Related Terms
Thank you for viewing the detailed overview of The Cato's Inventory-to-Revenue provided by GuruFocus.com. Please click on the following links to see related term pages.
The Cato Corp operates as a specialty retailer of fashion apparel and accessories primarily in the southeastern United States. Its primary objective is to be the fashion specialty retailer for fashion and value in its markets. The company operates through the following business segments: Retail and Credit. The Retail segment which generates majority revenue offers fashion specialty stores. The Credit segment involves credit card services.
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