Var Energi ASA (OSL:VAR) Cash Conversion Cycle: 4.21 (As of Mar. 2026)


OSL:VAR Var Energi ASA OSL:VAR
81 GF Score
Price kr40.10
GF Value kr44.63
Valuation Modestly Undervalued
! 4 Warning Signs
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What is Var Energi ASA Cash Conversion Cycle?

Var Energi ASA OSL:VAR -2.65% 81 Cash Conversion Cycle is 4.21 as of Mar. 2026. GuruFocus rates OSL:VAR with a GF Score™ of 81/100 and a GF Value™ of kr44.63 (Modestly Undervalued). The stock has 4 warning signs investors should review.

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

Var Energi ASA's Days Sales Outstanding for the three months ended in Mar. 2026 was 12.27.
Var Energi ASA's Days Inventory for the three months ended in Mar. 2026 was 25.89.
Var Energi ASA's Days Payable for the three months ended in Mar. 2026 was 33.95.
Therefore, Var Energi ASA's Cash Conversion Cycle (CCC) for the three months ended in Mar. 2026 was 4.21.


Var Energi ASA  (OSL:VAR) 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.


Var Energi ASA Cash Conversion Cycle Related Terms


Var Energi ASA Cash Conversion Cycle Historical Data

* Premium members only.

The historical data trend for Var Energi ASA'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.

Var Energi ASA Cash Conversion Cycle Chart

Var Energi ASA Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Cash Conversion Cycle
Get a 7-Day Free Trial 21.53 12.53 17.31 7.37 1.97

Var Energi ASA Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 1.38 4.48 5.91 0.02 4.21

OSL:VAR vs COP, EOG, FANG: Cash Conversion Cycle Comparison

For the Oil & Gas E&P subindustry, Var Energi ASA'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.


Var Energi ASA Cash Conversion Cycle vs Oil & Gas Industry

For the Oil & Gas industry and Energy sector, Var Energi ASA's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Var Energi ASA's Cash Conversion Cycle falls into.


OSL:VAR
81GF Score
Var Energi ASA OSL:VAR
Cash Conversion Cycle is just one metric. See GF Score™, valuation, warning signs, and more.
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Var Energi ASA 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.

Var Energi ASA's Cash Conversion Cycle for the fiscal year that ended in Dec. 2025 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=14.23+27.53-39.79
=1.97

Var Energi ASA's Cash Conversion Cycle for the quarter that ended in Mar. 2026 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=12.27+25.89-33.95
=4.21

* 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.

Frequently Asked Questions Learn more about Cash Conversion Cycle →
What does a Cash Conversion Cycle of 4.21 mean?
Var Energi ASA (OSL:VAR) has a Cash Conversion Cycle of 4.21 as of Mar. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Var Energi ASA and its competitors.
Is Var Energi ASA's Cash Conversion Cycle too high?
Var Energi ASA's current Cash Conversion Cycle is 4.21. The Oil & Gas industry median Cash Conversion Cycle is 18.26. Var Energi ASA's value of 4.21 is 76.9% below this industry median. Overall, Var Energi ASA has a GF Score™ of 81/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Var Energi ASA's Cash Conversion Cycle compare to COP and EOG?
Var Energi ASA's Cash Conversion Cycle of 4.21 can be compared against companies in the Oil & Gas industry. The industry median Cash Conversion Cycle is 18.26. Var Energi ASA's value of 4.21 is 76.9% below 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 an Oil & Gas company?
The median Cash Conversion Cycle among Oil & Gas companies is 18.26, based on 916 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. Var Energi ASA's current Cash Conversion Cycle of 4.21 is 76.9% below 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 Var Energi ASA and its competitors. For the Oil & Gas industry, the median Cash Conversion Cycle is 18.26 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Var Energi ASA's current Cash Conversion Cycle is 4.21. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Var Energi ASA stock overvalued right now?
Based on GuruFocus' analysis, Var Energi ASA (OSL:VAR) is currently considered Modestly Undervalued. The stock's GF Value™ is kr44.63, compared to a current price of kr40.10 — trading 10.2% below its estimated fair value. The current Cash Conversion Cycle is 4.21 and 76.9% below the Oil & Gas industry median of 18.26. Var Energi ASA's overall GF Score™ is 81/100 with 4 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 Var Energi ASA (OSL:VAR), the current Cash Conversion Cycle is 4.21 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 Var Energi ASA (OSL:VAR) Overvalued in 2026?

Based on GuruFocus' analysis, Var Energi ASA stock appears to be undervalued. The current stock price of kr40.10 is trading 10.2% below its estimated GF Value™ of kr44.63. GuruFocus considers Var Energi ASA to be Modestly Undervalued.

Key valuation signals for OSL:VAR:

  • Cash Conversion Cycle: 4.21
  • GF Value™: kr44.63 vs. price of kr40.10 (10.2% below fair value)
  • GF Score™: 81/100 with 4 warning signs
  • Industry Position: 76.9% below the Oil & Gas median

No single metric tells the full story. See the OSL:VAR stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Var Energi ASA Business Description

Industry EnergyOil & Gas
Address Vestre Svanholmen 1, Sandnes, NOR, 4313
Var Energi ASA is an independent upstream oil and gas company on the Norwegian continental shelf. It operates within the geographical area of Norway and the business is entirely related to the exploration for and production of petroleum in Norway. The Company operates within a single operating segment, and the products include oil and gas, natural gas liquids (NGL). Revenues are mainly related to the sale of oil, gas, and NGL. Var Energi is the operator of the following producing fields: Goliat (Barents Sea), Fenja (Norwegian Sea), Gjoa, Duva, Balder, and Ringhorne (North Sea).
81GF Score

Get the complete analysis for OSL:VAR

Cash Conversion Cycle is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

kr40.10
Price
kr44.63
GF Value