GURUFOCUS.COM » STOCK LIST » Technology » Software » DST Systems Inc (NYSE:DST) » Definitions » Cash Conversion Cycle

DST Systems (DST Systems) Cash Conversion Cycle : 37.38 (As of Dec. 2017)


View and export this data going back to 1995. Start your Free Trial

What is DST Systems Cash Conversion Cycle?

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

DST Systems's Days Sales Outstanding for the three months ended in Dec. 2017 was 55.02.
DST Systems's Days Inventory for the three months ended in Dec. 2017 was 0.
DST Systems's Days Payable for the three months ended in Dec. 2017 was 17.64.
Therefore, DST Systems's Cash Conversion Cycle (CCC) for the three months ended in Dec. 2017 was 37.38.


DST Systems Cash Conversion Cycle Historical Data

The historical data trend for DST Systems'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.

DST Systems Cash Conversion Cycle Chart

DST Systems Annual Data
Trend Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only 33.34 54.11 45.60 33.29 31.07

DST Systems Quarterly Data
Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17
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 28.99 46.20 36.47 41.21 37.38

Competitive Comparison of DST Systems's Cash Conversion Cycle

For the Software - Infrastructure subindustry, DST Systems'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.


DST Systems's Cash Conversion Cycle Distribution in the Software Industry

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

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



DST Systems 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.

DST Systems's Cash Conversion Cycle for the fiscal year that ended in Dec. 2017 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=47.66+0-16.59
=31.07

DST Systems's Cash Conversion Cycle for the quarter that ended in Dec. 2017 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=55.02+0-17.64
=37.38

* 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.


DST Systems  (NYSE:DST) 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.


DST Systems Cash Conversion Cycle Related Terms

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


DST Systems (DST Systems) Business Description

Traded in Other Exchanges
N/A
Address
DST Systems Inc is a provider of information processing and servicing solutions to the financial industry. Clients include asset-management firms, brokerages, retirement funds, and healthcare firms. The company operates three business segments: financial services, healthcare services, and customer communications. DST Systems' largest segment by revenue, financial services, provides transaction processing, account opening and maintenance, reconciliation of trades, positions and cash, corporate actions, regulatory reporting and compliance functions, and tax reporting services. The company generates most of its revenue in the United States of America.
Executives
Samuel G Liss director VERISK ANALYTICS, INC., 545 WASHINGTON BOULEVARD, JERSEY CITY NJ 07310
Gary D Forsee director C/O INGERSOLL-RAND COMPANY, 155 CHESTNUT RIDGE ROAD, MONTVALE NJ 07645
Joseph C Antonellis director STATE STREET CORPORATION, ONE LINCOLN STREET, BOSTON MA 02111
Charles E Haldeman director C/O JBG/OPERATING PARTNERS, L.P., 4445 WILLARD AVENUE, SUITE 400, CHEVY CHASE MD 20815
Edmund J Burke officer: President of Subsidiary 1290 BROADWAY, SUITE 1100, DENVER CO 80203
Lynn Dorsey Bleil director 333 WEST 11TH STREET, KANSAS CITY MO 64105
Stephen C Hooley director, officer: Chairman, CEO & President 2355 WAUKEGAN ROAD, BANNOCKBURN IL 60015
A Edward Allinson director STATE STREET BOSTON CORP 225 FRANKLIN STREET BOSTON MA 02110
John W Clark director 949 SOUTH COAST DRIVE, SUITE 650, COSTA MESA CA 92626
George L Argyros director ARNEL & AFFILIATES, 949 SOUTH COAST DR SUITE 600, COSTA MESA CA 92626
Lawrence M Higby director C/O APRIA HEALTHCARE GROUP INC, 26220 ENTERPRISE COURT, LAKE FOREST CA 92630
Thomas A Mcdonnell director, officer: CEO & Director C/O KANSAS CITY SOUTHERN, 427 W 12TH STREET, KANSAS CITY MO 64105
M Jeannine Strandjord other: Retired Director as of 5/9/12
William C Nelson director 6521 WE NONGA TERRACE, MISSION HILLS KY 66208
Thomas A Mccullough director C/O DST SYSTEMS, 333 WEST 11TH ST 5TH FL, KANSAS CITY MO 64105