Denka Co's Days Sales Outstanding for the
three
months ended in Mar. 2026 was 86.28.
Denka Co's Days Inventory for the
three
months ended in Mar. 2026 was 171.04.
Denka Co's Days Payable for the
three
months ended in Mar. 2026 was 60.38.
Therefore, Denka Co's Cash Conversion Cycle (CCC) for the
three
months ended in Mar. 2026 was 196.94.
Denka Co (FRA:DIK) 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.
Denka Co Cash Conversion Cycle Related Terms
Denka Co Cash Conversion Cycle Historical Data
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The historical data trend for Denka Co'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.
For the Chemicals subindustry, Denka Co'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.
Denka Co Cash Conversion Cycle vs Chemicals Industry
For the Chemicals industry and Basic Materials sector, Denka Co's Cash Conversion Cycle distribution charts can be found below:
* The bar in red indicates where Denka Co's Cash Conversion Cycle falls into.
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.
Denka Co's Cash Conversion Cycle for the fiscal year that ended in Mar. 2026 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.
Denka Co (FRA:DIK) has a Cash Conversion Cycle of 196.94 as of Mar. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Denka Co and its competitors.
Is Denka Co's Cash Conversion Cycle too high?
Denka Co's current Cash Conversion Cycle is 196.94. The Chemicals industry median Cash Conversion Cycle is 89.20. Denka Co's value of 196.94 is 120.8% above this industry median. Overall, Denka Co has a GF Score™ of 55/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Denka Co's Cash Conversion Cycle compare to DOW?
Denka Co's Cash Conversion Cycle of 196.94 can be compared against companies in the Chemicals industry. The industry median Cash Conversion Cycle is 89.20. Denka Co's value of 196.94 is 120.8% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Conversion Cycle for a Chemicals company?
The median Cash Conversion Cycle among Chemicals companies is 89.20, based on 1,581 companies in the industry. Companies in the top quartile (top 25%) have a Cash Conversion Cycle significantly above this median, while those in the bottom quartile fall well below. However, Cash Conversion Cycle should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Denka Co's current Cash Conversion Cycle of 196.94 is 120.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Conversion Cycle mean?
A high Cash Conversion Cycle can signal that a stock is expensive relative to its fundamentals. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Denka Co and its competitors. For the Chemicals industry, the median Cash Conversion Cycle is 89.20 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Denka Co's current Cash Conversion Cycle is 196.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Denka Co stock overvalued right now?
Based on GuruFocus' analysis, Denka Co (FRA:DIK) is currently considered Significantly Overvalued. The stock's GF Value™ is €12.39, compared to a current price of €23.60 — trading 90.5% above its estimated fair value. The current Cash Conversion Cycle is 196.94 and 120.8% above the Chemicals industry median of 89.20. Denka Co's overall GF Score™ is 55/100 with 11 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Conversion Cycle calculated?
Cash Conversion Cycle is calculated from a company's financial statements. For Denka Co (FRA:DIK), the current Cash Conversion Cycle is 196.94 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Denka Co (FRA:DIK) Overvalued in 2026?
Based on GuruFocus' analysis, Denka Co stock appears to be overvalued.
The current stock price of €23.60 is trading 90.5% above its estimated GF Value™ of €12.39.
GuruFocus considers Denka Co to be Significantly Overvalued.
Key valuation signals for FRA:DIK:
Cash Conversion Cycle: 196.94
GF Value™: €12.39 vs. price of €23.60 (90.5% above fair value)
Industry Position: 120.8% above the Chemicals median
No single metric tells the full story. See the FRA:DIK stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Denka Co Ltd manufactures and sells chemicals, plastics, and chemical-based products. The firm organizes itself into four segments based on product type. The elastomers and performance plastics segment, which generates more revenue than any other segment, sells rubber products used by the automotive industry and plastics used to manufacture electronics including televisions. The infrastructure and social solutions segment sells cement and fertilizer to the construction and building industries. The electronics and innovative products segment sells film, and resins used by the electronics industry. The life science and environment products segment sells housing materials including rain gutters, plastic food packaging materials, and industrial materials including electrical tape.
55GF Score
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