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Vertex Pharmaceuticals (WBO:VRTX) Days Inventory : 178.85 (As of Dec. 2023)


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What is Vertex Pharmaceuticals Days Inventory?

Days Inventory is also known as Days Sales of Inventory (DSI). Vertex Pharmaceuticals's Average Total Inventories for the three months ended in Dec. 2023 was €661 Mil. Vertex Pharmaceuticals's Cost of Goods Sold for the three months ended in Dec. 2023 was €337 Mil. Hence, Vertex Pharmaceuticals's Days Inventory for the three months ended in Dec. 2023 was 178.85.

The historical rank and industry rank for Vertex Pharmaceuticals's Days Inventory or its related term are showing as below:

WBO:VRTX' s Days Inventory Range Over the Past 10 Years
Min: 97.23   Med: 126.8   Max: 175.05
Current: 175.05

During the past 13 years, Vertex Pharmaceuticals's highest Days Inventory was 175.05. The lowest was 97.23. And the median was 126.80.

WBO:VRTX's Days Inventory is ranked better than
53.38% of 650 companies
in the Biotechnology industry
Industry Median: 192.335 vs WBO:VRTX: 175.05

Vertex Pharmaceuticals's Days Inventory increased from Dec. 2022 (141.07) to Dec. 2023 (178.85). It might indicate that Vertex Pharmaceuticals's sales slowed down.

Inventory Turnover measures how fast the company turns over its inventory within a year. Vertex Pharmaceuticals's Inventory Turnover for the three months ended in Dec. 2023 was 0.51.

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. Vertex Pharmaceuticals's Inventory-to-Revenue for the three months ended in Dec. 2023 was 0.29.


Vertex Pharmaceuticals Days Inventory Historical Data

The historical data trend for Vertex Pharmaceuticals's Days Inventory 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.

Vertex Pharmaceuticals Days Inventory Chart

Vertex Pharmaceuticals Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Days Inventory
Get a 7-Day Free Trial Premium Member Only Premium Member Only 96.27 115.06 123.91 133.73 175.38

Vertex Pharmaceuticals Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Days Inventory 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 141.07 171.05 169.28 183.70 178.85

Competitive Comparison of Vertex Pharmaceuticals's Days Inventory

For the Biotechnology subindustry, Vertex Pharmaceuticals's Days Inventory, along with its competitors' market caps and Days Inventory 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.


Vertex Pharmaceuticals's Days Inventory Distribution in the Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Vertex Pharmaceuticals's Days Inventory distribution charts can be found below:

* The bar in red indicates where Vertex Pharmaceuticals's Days Inventory falls into.



Vertex Pharmaceuticals Days Inventory Calculation

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

Vertex Pharmaceuticals's Days Inventory for the fiscal year that ended in Dec. 2023 is calculated as

Days Inventory (A: Dec. 2023 )
=Average Total Inventories / Cost of Goods Sold*Days in Period
=( (Total Inventories (A: Dec. 2022 ) + Total Inventories (A: Dec. 2023 )) / count ) / Cost of Goods Sold (A: Dec. 2023 )*Days in Period
=( (434.806 + 677.48) / 2 ) / 1157.437*365
=556.143 / 1157.437*365
=175.38

Vertex Pharmaceuticals's Days Inventory for the quarter that ended in Dec. 2023 is calculated as:

Days Inventory (Q: Dec. 2023 )
=Average Total Inventories / Cost of Goods Sold*Days in Period
=( (Total Inventories (Q: Sep. 2023 ) + Total Inventories (Q: Dec. 2023 )) / count ) / Cost of Goods Sold (Q: Dec. 2023 )*Days in Period
=( (645.312 + 677.48) / 2 ) / 337.456*365 / 4
=661.396 / 337.456*365 / 4
=178.85

* 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.


Vertex Pharmaceuticals  (WBO:VRTX) Days Inventory Explanation

Days Inventory indicates the liquidity of the inventory. Generally, a lower Days Inventory is preferred as it indicates a shorter duration to clear off the inventory. An increase of the ratio may indicate the company's sales slowed. Similar ratios related to Days Inventory are:

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

Vertex Pharmaceuticals's Inventory Turnover for the three months ended in Dec. 2023 is calculated as

2. 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.

Vertex Pharmaceuticals's Inventory to Revenue for the three months ended in Dec. 2023 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.


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.


Vertex Pharmaceuticals Days Inventory Related Terms

Thank you for viewing the detailed overview of Vertex Pharmaceuticals's Days Inventory provided by GuruFocus.com. Please click on the following links to see related term pages.


Vertex Pharmaceuticals (WBO:VRTX) Business Description

Address
50 Northern Avenue, Boston, MA, USA, 02210
Vertex Pharmaceuticals is a global biotechnology company that discovers and develops small-molecule drugs for the treatment of serious diseases. Its key drugs are Kalydeco, Orkambi, Symdeko, and Trikafta/Kaftrio for cystic fibrosis, where Vertex therapies remain the standard of care globally. Vertex is diversifying its pipeline through gene-editing therapies such as CTX001 for beta thalassemia and sickle-cell disease, small-molecule inhibitors targeting acute and chronic pain using nonopioid treatments, and small-molecule inhibitors of APOL1-mediated kidney diseases. Vertex is also investigating cell therapies to deliver a potential functional cure for type 1 diabetes.