Reece's Days Sales Outstanding for the
six
months ended in Dec. 2025 was 51.32.
Reece's Days Inventory for the
six
months ended in Dec. 2025 was 88.6.
Reece's Days Payable for the
six
months ended in Dec. 2025 was 54.36.
Therefore, Reece's Cash Conversion Cycle (CCC) for the
six
months ended in Dec. 2025 was 85.56.
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.
Reece Cash Conversion Cycle Related Terms
Reece Cash Conversion Cycle Historical Data
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The historical data trend for Reece'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.
REECF vs GWW, FAST, FERG: Cash Conversion Cycle Comparison
For the Industrial Distribution subindustry, Reece'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.
Reece Cash Conversion Cycle vs Industrial Distribution Industry
For the Industrial Distribution industry and Industrials sector, Reece's Cash Conversion Cycle distribution charts can be found below:
* The bar in red indicates where Reece'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.
Reece's Cash Conversion Cycle for the fiscal year that ended in Jun. 2025 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.
Reece (REECF) has a Cash Conversion Cycle of 85.56 as of Dec. 2025. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Reece and its competitors.
Is Reece's Cash Conversion Cycle too high?
Reece's current Cash Conversion Cycle is 85.56. The Industrial Distribution industry median Cash Conversion Cycle is 99.15. Reece's value of 85.56 is 13.7% below this industry median. Overall, Reece has a GF Score™ of 84/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Reece's Cash Conversion Cycle compare to GWW and FAST?
Reece's Cash Conversion Cycle of 85.56 can be compared against companies in the Industrial Distribution industry. The industry median Cash Conversion Cycle is 99.15. Reece's value of 85.56 is 13.7% 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 Industrial Distribution company?
The median Cash Conversion Cycle among Industrial Distribution companies is 99.15, based on 156 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. Reece's current Cash Conversion Cycle of 85.56 is 13.7% 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 Reece and its competitors. For the Industrial Distribution industry, the median Cash Conversion Cycle is 99.15 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Reece's current Cash Conversion Cycle is 85.56. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Reece stock overvalued right now?
Based on GuruFocus' analysis, Reece (REECF) is currently considered Modestly Undervalued. The stock's GF Value™ is $12.35, compared to a current price of $9.80 — trading 20.6% below its estimated fair value. The current Cash Conversion Cycle is 85.56 and 13.7% below the Industrial Distribution industry median of 99.15. Reece's overall GF Score™ is 84/100 with 8 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 Reece (REECF), the current Cash Conversion Cycle is 85.56 as of Dec. 2025. 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 Reece (REECF) Overvalued in 2026?
Based on GuruFocus' analysis, Reece stock appears to be undervalued.
The current stock price of $9.80 is trading 20.6% below its estimated GF Value™ of $12.35.
GuruFocus considers Reece to be Modestly Undervalued.
Key valuation signals for REECF:
Cash Conversion Cycle: 85.56
GF Value™: $12.35 vs. price of $9.80 (20.6% below fair value)
Industry Position: 13.7% below the Industrial Distribution median
No single metric tells the full story. See the REECF stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Reece is an Australian distributor of plumbing supplies and bathroom products, with businesses in Australia, New Zealand, and the United States. Reece Australia holds Australia's largest range of individual plumbing stock-keeping units, supporting plumbing needs for general plumbing, bathrooms, kitchens, heating and air conditioning, irrigation, refrigeration, pools, commercial and government projects, and fire services.In the Australia and New Zealand markets, Reece's trade, customers are mostly small to medium plumbing businesses working in the areas of residential repairs, renovations, or new home builds.The US business principally serves plumbers working on commercial and residential construction projects and has a network of almost 300 stores in the southern Sunbelt states.
84GF Score
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Cash Conversion Cycle is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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