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WNC (Wabash National) Cash Conversion Cycle : 66.44 (As of Sep. 2024)


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What is Wabash National Cash Conversion Cycle?

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

Wabash National's Days Sales Outstanding for the three months ended in Sep. 2024 was 47.38.
Wabash National's Days Inventory for the three months ended in Sep. 2024 was 59.66.
Wabash National's Days Payable for the three months ended in Sep. 2024 was 40.6.
Therefore, Wabash National's Cash Conversion Cycle (CCC) for the three months ended in Sep. 2024 was 66.44.


Wabash National Cash Conversion Cycle Historical Data

The historical data trend for Wabash National'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.

Wabash National Cash Conversion Cycle Chart

Wabash National Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cash Conversion Cycle
Get a 7-Day Free Trial Premium Member Only Premium Member Only 35.40 49.13 42.09 41.44 46.39

Wabash National Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
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 54.34 53.56 56.61 56.93 66.44

Competitive Comparison of Wabash National's Cash Conversion Cycle

For the Farm & Heavy Construction Machinery subindustry, Wabash National'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.


Wabash National's Cash Conversion Cycle Distribution in the Farm & Heavy Construction Machinery Industry

For the Farm & Heavy Construction Machinery industry and Industrials sector, Wabash National's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Wabash National's Cash Conversion Cycle falls into.



Wabash National 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.

Wabash National's Cash Conversion Cycle for the fiscal year that ended in Dec. 2023 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=31.55+45.8-30.96
=46.39

Wabash National's Cash Conversion Cycle for the quarter that ended in Sep. 2024 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=47.38+59.66-40.6
=66.44

* 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.


Wabash National  (NYSE:WNC) 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.


Wabash National Cash Conversion Cycle Related Terms

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


Wabash National Business Description

Traded in Other Exchanges
Address
3900 McCarty Lane, Lafayette, IN, USA, 47905
Wabash National Corp operates as the innovation leader of connected solutions for the transportation, logistics, and distribution industries. The company's mission is to enable customers to succeed with breakthrough ideas and solutions that help them move everything from the first to the final mile. It designs and manufactures a diverse variety of products, including dry freight and refrigerated trailers, platform trailers, tank trailers, dry and refrigerated truck bodies, structural composite panels and products, trailer aerodynamic solutions, and specialty food-grade processing equipment.
Executives
Sudhanshu Shekhar Priyadarshi director 6425 HALL OF FAME LANE, FRISCO TX 75034
Larry J Magee director 1000 SAGAMORE PARKWAY SOUTH, LAFAYETTE IN 47905
John G. Boss director 260 HUDSON RIVER ROAD, WATERFORD NY 12188
Mary Kristin Glazner officer: SVP Chief HR Officer 1000 SAGAMORE PARKWAY SOUTH, LAFAYETTE IN 47905
Michael N Pettit officer: SVP - Group President, FMP 1000 SAGAMORE PARKWAY SOUTH, LAFAYETTE IN 47905
Dustin T Smith officer: SVP and Group President, CTP 1000 SAGAMORE PARKWAY SOUTH, LAFAYETTE IN 47905
Kevin J Page officer: SVP and Group President, DPG 1000 SAGAMORE PARKWAY SOUTH, LAFAYETTE IN 47905
Brent L Yeagy officer: Pres. of Commercial Trailer 1000 SAGAMORE PARKWAY SOUTH, LAFAYETTE IN 47905
Trent Broberg director 3900 MCCARTY LANE, LAFAYETTE IN 47905
John E Kunz director 522 N. MACEWEN DRIVE, OSPREY FL 34229
Therese M Bassett director 2211 SOUTH 47TH STREET, PHOENIX AZ 85034
Taylor Stuart A Ii director
Andrew C Boynton director FULTON HALL 510, 140 COMMONWEALTH AVENUE, CHESTNUT HILL MA 02467
Melanie Margolin officer: SVP and General Counsel 1000 SAGAMORE PARKWAY SOUTH, LAFAYETTE IN 47905
Richard J Giromini officer: Senior Vice President - COO