Salt Trading (XNEP:STC) Cash Conversion Cycle: -35.16 (As of Jul. 2025)

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XNEP:STC Salt Trading Corp XNEP:STC
79 GF Score
Price NPR5,295.00
GF Value NPR4,290.89
Valuation Modestly Overvalued
! 7 Warning Signs
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What is Salt Trading Cash Conversion Cycle?

Salt Trading XNEP:STC +0.68% 79 Cash Conversion Cycle is -35.16 as of Jul. 2025. GuruFocus rates XNEP:STC with a GF Score™ of 79/100 and a GF Value™ of NPR4,290.89 (Modestly Overvalued). The stock has 7 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.

Salt Trading's Days Sales Outstanding for the six months ended in Jul. 2025 was 39.39.
Salt Trading's Days Inventory for the six months ended in Jul. 2025 was 166.44.
Salt Trading's Days Payable for the six months ended in Jul. 2025 was 240.99.
Therefore, Salt Trading's Cash Conversion Cycle (CCC) for the six months ended in Jul. 2025 was -35.16.


Salt Trading  (XNEP:STC) 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.


Salt Trading Cash Conversion Cycle Related Terms


Salt Trading Cash Conversion Cycle Historical Data

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The historical data trend for Salt Trading'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.

Salt Trading Cash Conversion Cycle Chart

Salt Trading Annual Data
Trend Jul19 Jul20 Jul21 Jul22 Jul23 Jul24 Jul25
Cash Conversion Cycle
Get a 7-Day Free Trial 113.89 86.12 -0.50 18.45 -35.16

Salt Trading Semi-Annual Data
Jul19 Jul20 Jul21 Jul22 Jul23 Jul24 Jul25
Cash Conversion Cycle Get a 7-Day Free Trial 113.89 86.12 -0.50 18.45 -35.16

XNEP:STC vs KHC, GIS, HRL: Cash Conversion Cycle Comparison

For the Packaged Foods subindustry, Salt Trading'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.


Salt Trading Cash Conversion Cycle vs Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Salt Trading's Cash Conversion Cycle distribution charts can be found below:

* The bar in red indicates where Salt Trading's Cash Conversion Cycle falls into.


XNEP:STC
79GF Score
Salt Trading Corp XNEP:STC
Cash Conversion Cycle is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Salt Trading 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.

Salt Trading's Cash Conversion Cycle for the fiscal year that ended in Jul. 2025 is calculated as

Cash Conversion Cycle=Days Sales Outstanding +Days Inventory-Days Payable
=39.39+166.44-240.99
=-35.16

Salt Trading's Cash Conversion Cycle for the quarter that ended in Jul. 2025 is calculated as:

Cash Conversion Cycle=Days Sales Outstanding+Days Inventory-Days Payable
=39.39+166.44-240.99
=-35.16

* 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 -35.16 mean?
Salt Trading (XNEP:STC) has a Cash Conversion Cycle of -35.16 as of Jul. 2025. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Salt Trading and its competitors.
Is Salt Trading's Cash Conversion Cycle too high?
Salt Trading's current Cash Conversion Cycle is -35.16. Overall, Salt Trading has a GF Score™ of 79/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Salt Trading's Cash Conversion Cycle compare to KHC and GIS?
Salt Trading's Cash Conversion Cycle of -35.16 can be compared against companies in the Consumer Packaged Goods industry. The industry median Cash Conversion Cycle is 75.77. 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 Consumer Packaged Goods company?
The median Cash Conversion Cycle among Consumer Packaged Goods companies is 75.77, based on 1,952 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. 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 Salt Trading and its competitors. For the Consumer Packaged Goods industry, the median Cash Conversion Cycle is 75.77 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Salt Trading's current Cash Conversion Cycle is -35.16. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Salt Trading stock overvalued right now?
Based on GuruFocus' analysis, Salt Trading (XNEP:STC) is currently considered Modestly Overvalued. The stock's GF Value™ is NPR4,290.89, compared to a current price of NPR5,295.00 — trading 23.4% above its estimated fair value. The current Cash Conversion Cycle is -35.16. Salt Trading's overall GF Score™ is 79/100 with 7 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 Salt Trading (XNEP:STC), the current Cash Conversion Cycle is -35.16 as of Jul. 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 Salt Trading (XNEP:STC) Overvalued in 2026?

Based on GuruFocus' analysis, Salt Trading stock appears to be overvalued. The current stock price of NPR5,295.00 is trading 23.4% above its estimated GF Value™ of NPR4,290.89. GuruFocus considers Salt Trading to be Modestly Overvalued.

Key valuation signals for XNEP:STC:

  • Cash Conversion Cycle: -35.16
  • GF Value™: NPR4,290.89 vs. price of NPR5,295.00 (23.4% above fair value)
  • GF Score™: 79/100 with 7 warning signs

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


Salt Trading Business Description

Address Kalimati, P.O.Box: 483, Kathmandu, NPL
Salt Trading Corp operates as the sole supplier of salt within Nepal. Its key business segments include: i) Salt Sales: Free flow salt, washed salt, Phoda salt, ii) Fertilizer Sales: Subsidised-Diammonium Phosphate, Urea, Potash, iii) Gas: STC Gas, and iv)Others: Sugar, seed, wheat, Cement, Iron steel, Rice, Flour, Gas, Ghee Oil, Paper, Kitchen appliances and Others. The majority of revenue is derived from the Salt segment.
79GF Score

Get the complete analysis for XNEP:STC

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

NPR5,295.00
Price
NPR4,290.89
GF Value