DCEL (Digicel Group) Days Inventory: 22.47 (As of Mar. 2015)


What is Digicel Group Days Inventory?

Digicel Group DCEL Days Inventory is 22.47 as of Mar. 2015.

Days Inventory is also known as Days Sales of Inventory (DSI). Digicel Group's Average Total Inventories for the six months ended in Mar. 2015 was $46.40 Mil. Digicel Group's Cost of Goods Sold for the six months ended in Mar. 2015 was $753.86 Mil. Hence, Digicel Group's Days Inventory for the six months ended in Mar. 2015 was 11.23.

The historical rank and industry rank for Digicel Group's Days Inventory or its related term are showing as below:

DCEL's Days Inventory is not ranked *
in the Telecommunication Services industry.
Industry Median: 18.45
* Ranked among companies with meaningful Days Inventory only.

Digicel Group's Days Inventory increased from Mar. 2013 (0.00) to Mar. 2015 (22.47). It might indicate that Digicel Group's sales slowed down.

Inventory Turnover measures how fast the company turns over its inventory within a year. Digicel Group's Inventory Turnover for the six months ended in Mar. 2015 was 16.25.

Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue. Digicel Group's Inventory-to-Revenue for the six months ended in Mar. 2015 was 0.02.

Digicel Group  (NYSE:DCEL) Days Inventory Explanation

Days Inventory indicates the liquidity of the inventory. Generally, a lower Days Inventory is preferred as it indicates a shorter duration to clear off the inventory. An increase of the ratio may indicate the company's sales slowed. Similar ratios related to Days Inventory are:

1. Inventory Turnover measures how fast the company turns over its inventory within a year.

Digicel Group's Inventory Turnover for the six months ended in Mar. 2015 is calculated as

Inventory Turnover=Cost of Goods Sold / Average Total Inventories
=753.858 / 46.4
=16.25

2. Inventory-to-Revenue determines the ability of a company to manage their inventory levels. It measures the percentage of Inventories the company currently has on hand to support the current amount of Revenue.

Digicel Group's Inventory to Revenue for the six months ended in Mar. 2015 is calculated as

Inventory-to-Revenue=Average Total Inventories / Revenue
=46.4 / 2794.11
=0.02

* 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.

Be Aware

A lot of business are seasonable. It makes more sense to compare Days Inventory from the same period in the previous year instead of from the previous quarter.

Digicel Group Days Inventory Related Terms

Digicel Group Days Inventory Historical Data

* Premium members only.

The historical data trend for Digicel Group's Days Inventory 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.

Digicel Group Days Inventory Chart

Digicel Group Annual Data
Trend Mar13 Mar14 Mar15
Days Inventory
0.00 21.38 22.47

Digicel Group Semi-Annual Data
Mar13 Mar14 Mar15
Days Inventory 0.00 21.38 22.47

DCEL vs DIRV, FULO, TOWTF: Days Inventory Comparison

For the Telecom Services subindustry, Digicel Group's Days Inventory, along with its competitors' market caps and Days Inventory 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.

Digicel Group Days Inventory vs Telecommunication Services Industry

For the Telecommunication Services industry and Communication Services sector, Digicel Group's Days Inventory distribution charts can be found below:

* The bar in red indicates where Digicel Group's Days Inventory falls into.


Digicel Group Days Inventory Calculation

Days Inventory indicates the number of days of goods in sales that a company has in the inventory.

Digicel Group's Days Inventory for the fiscal year that ended in Mar. 2015 is calculated as

Days Inventory (A: Mar. 2015 )
=Average Total Inventories / Cost of Goods Sold*Days in Period
=( (Total Inventories (A: Mar. 2014 ) + Total Inventories (A: Mar. 2015 )) / count ) / Cost of Goods Sold (A: Mar. 2015 )*Days in Period
=( (43.569 + 49.231) / 2 ) / 753.858*365
=46.4 / 753.858*365
=22.47

Digicel Group's Days Inventory for the quarter that ended in Mar. 2015 is calculated as:

Days Inventory (Q: Mar. 2015 )
=Average Total Inventories / Cost of Goods Sold*Days in Period
=( (Total Inventories (Q: Mar. 2014 ) + Total Inventories (Q: Mar. 2015 )) / count ) / Cost of Goods Sold (Q: Mar. 2015 )*Days in Period
=( (43.569 + 49.231) / 2 ) / 753.858*365 / 2
=46.4 / 753.858*365 / 2
=11.23

* 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 Days Inventory →
What does a Days Inventory of 22.47 mean?
Digicel Group (DCEL) has a Days Inventory of 22.47 as of Mar. 2015. Days inventory represents the average amount of days a company holds inventory before selling it. View historical data on Digicel Group and its competitors.
Is Digicel Group's Days Inventory too high?
Digicel Group's current Days Inventory is 22.47. The Telecommunication Services industry median Days Inventory is 18.45. Digicel Group's value of 22.47 is 21.8% above this industry median.
How does Digicel Group's Days Inventory compare to DIRV and FULO?
Digicel Group's Days Inventory of 22.47 can be compared against companies in the Telecommunication Services industry. The industry median Days Inventory is 18.45. Digicel Group's value of 22.47 is 21.8% 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 Days Inventory for a Telecommunication Services company?
The median Days Inventory among Telecommunication Services companies is 18.45, based on 295 companies in the industry. Companies in the top quartile (top 25%) have a Days Inventory significantly above this median, while those in the bottom quartile fall well below. However, Days Inventory should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Digicel Group's current Days Inventory of 22.47 is 21.8% 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 Days Inventory mean?
A high Days Inventory can signal that a stock is expensive relative to its fundamentals. Days inventory represents the average amount of days a company holds inventory before selling it. View historical data on Digicel Group and its competitors. For the Telecommunication Services industry, the median Days Inventory is 18.45 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Digicel Group's current Days Inventory is 22.47. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Digicel Group stock overvalued right now?
Digicel Group (DCEL) has a current Days Inventory of 22.47. The current Days Inventory is 22.47 and 21.8% above the Telecommunication Services industry median of 18.45. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Days Inventory calculated?
Days Inventory is calculated from a company's financial statements. For Digicel Group (DCEL), the current Days Inventory is 22.47 as of Mar. 2015. 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.

Digicel Group Business Description

Digicel Group Ltd was incorporated under the laws of Bermuda on February 5, 2007. The Company is a provider of communications services in the Caribbean and South Pacific regions. It provides a comprehensive range of mobile communications, business solutions, cable TV & broadband and other related products and services to retail, corporate (including small and medium-sized enterprises) and government customers. Its business is currently organized into nine reporting segments: Jamaica, Trinidad and Tobago, French West Indies, Haiti, El Salvador, Eastern Caribbean markets consisting of its operations in St. Lucia, Grenada and St. Vincent and the Grenadines, Guyana, Papua New Guinea and Other locations, consisting of its operations in all of its other markets. It has customer reach through 1,034 retail locations (including 667 exclusive stores) and a dealer and distributor network with approximately 183,000 recharge locations. It offers its services on both a prepaid and post-paid basis and market to retail and business customers. It caters to its retail customers through Digicel's dealer channel and to its corporate clients via a business channel. Its distribution channel is comprised of the four distinct categories: Vendor Stores, Third-Party Dealers, Prepaid Card Outlets, and Diaspora. The Company's Mobile and Cable TV & Broadband operations are subject to regulation in each of the markets in which it operates.