Porta Communications (LSE:PTCM) Days Inventory: 79.22 (As of Dec. 2018) — 33% Above Median

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What is Porta Communications Days Inventory?

Porta Communications LSE:PTCM Days Inventory is 79.22 as of Dec. 2018, which is 33% above its 10-year median of 59.46. The stock has 4 warning signs investors should review.

Days Inventory is also known as Days Sales of Inventory (DSI). Porta Communications's Average Total Inventories for the six months ended in Dec. 2018 was £0.80 Mil. Porta Communications's Cost of Goods Sold for the six months ended in Dec. 2018 was £1.84 Mil. Hence, Porta Communications's Days Inventory for the six months ended in Dec. 2018 was 79.22.

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

LSE:PTCM' s Days Inventory Range Over the Past 10 Years
Min: 9.93   Med: 59.46   Max: 455.25
Current: 58.11

During the past 13 years, Porta Communications's highest Days Inventory was 455.25. The lowest was 9.93. And the median was 59.46.

LSE:PTCM's Days Inventory is not ranked
in the Media - Diversified industry.
Industry Median: 28.54 vs LSE:PTCM: 58.11

Porta Communications's Days Inventory increased from Dec. 2017 (42.16) to Dec. 2018 (79.22). It might indicate that Porta Communications's sales slowed down.

Inventory Turnover measures how fast the company turns over its inventory within a year. Porta Communications's Inventory Turnover for the six months ended in Dec. 2018 was 2.30.

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. Porta Communications's Inventory-to-Revenue for the six months ended in Dec. 2018 was 0.05.


Porta Communications  (LSE:PTCM) 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.

Porta Communications's Inventory Turnover for the six months ended in Dec. 2018 is calculated as

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.

Porta Communications's Inventory to Revenue for the six months ended in Dec. 2018 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.


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.


Porta Communications Days Inventory Related Terms


Porta Communications Days Inventory Historical Data

* Premium members only.

The historical data trend for Porta Communications'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.

Porta Communications Days Inventory Chart

Porta Communications Annual Data
Trend Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18
Days Inventory
Get a 7-Day Free Trial Premium Member Only Premium Member Only 162.03 52.11 55.39 63.52 61.82

Porta Communications Semi-Annual Data
Jun09 Dec09 Jun10 Dec10 Jun11 Dec11 Jun12 Dec12 Jun13 Dec13 Jun14 Dec14 Jun15 Dec15 Jun16 Dec16 Jun17 Dec17 Jun18 Dec18
Days Inventory 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 67.33 60.56 42.16 51.04 79.22

LSE:PTCM vs NWCN, ADMG: Days Inventory Comparison

For the Advertising Agencies subindustry, Porta Communications'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.


Porta Communications Days Inventory vs Media - Diversified Industry

For the Media - Diversified industry and Communication Services sector, Porta Communications's Days Inventory distribution charts can be found below:

* The bar in red indicates where Porta Communications's Days Inventory falls into.



Porta Communications Days Inventory Calculation

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

Porta Communications's Days Inventory for the fiscal year that ended in Dec. 2018 is calculated as

Days Inventory (A: Dec. 2018 )
=Average Total Inventories / Cost of Goods Sold*Days in Period
=( (Total Inventories (A: Dec. 2017 ) + Total Inventories (A: Dec. 2018 )) / count ) / Cost of Goods Sold (A: Dec. 2018 )*Days in Period
=( (0.792 + 0) / 1 ) / 4.676*365
=0.792 / 4.676*365
=61.82

Porta Communications's Days Inventory for the quarter that ended in Dec. 2018 is calculated as:

Days Inventory (Q: Dec. 2018 )
=Average Total Inventories / Cost of Goods Sold*Days in Period
=( (Total Inventories (Q: Jun. 2018 ) + Total Inventories (Q: Dec. 2018 )) / count ) / Cost of Goods Sold (Q: Dec. 2018 )*Days in Period
=( (0.797 + 0) / 1 ) / 1.836*365 / 2
=0.797 / 1.836*365 / 2
=79.22

* 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 79.22 mean?
Porta Communications (LSE:PTCM) has a Days Inventory of 79.22 as of Dec. 2018. Days inventory represents the average amount of days a company holds inventory before selling it. View historical data on Porta Communications and its competitors. This is 33% above median its historical median of 59.46. Over the past decade, Porta Communications' Days Inventory has ranged from 9.93 to 455.25.
Is Porta Communications' Days Inventory too high?
Porta Communications' current Days Inventory of 79.22 is 33% above median its 10-year median of 59.46. Over the past 10 years, this metric has ranged from a low of 9.93 to a high of 455.25. The Media - Diversified industry median Days Inventory is 28.54. Porta Communications' value of 79.22 is 177.6% above this industry median.
How does Porta Communications' Days Inventory compare to NWCN and ADMG?
Porta Communications' Days Inventory of 79.22 can be compared against companies in the Media - Diversified industry. The industry median Days Inventory is 28.54. Porta Communications' value of 79.22 is 177.6% above this benchmark. Historically, Porta Communications' own Days Inventory has ranged from 9.93 to 455.25 over the past decade. While the company's 10-year median is 59.46 vs. the industry median of 28.54, Porta Communications has consistently been above the industry average. 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 Media - Diversified company?
The median Days Inventory among Media - Diversified companies is 28.54, based on 663 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. Porta Communications's current Days Inventory of 79.22 is 177.6% 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 Porta Communications and its competitors. For the Media - Diversified industry, the median Days Inventory is 28.54 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Porta Communications's current Days Inventory is 79.22, which is 33% above median its own 10-year median of 59.46. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Porta Communications stock overvalued right now?
Porta Communications (LSE:PTCM) has a current Days Inventory of 79.22. The current Days Inventory is 79.22, which is 33% above median its 10-year median of 59.46 and 177.6% above the Media - Diversified industry median of 28.54. 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 Porta Communications (LSE:PTCM), the current Days Inventory is 79.22 as of Dec. 2018. 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.

Porta Communications Business Description

Address 50 Basinghall Street, Sky Light City Tower, London, GBR, EC2V 5DE
Porta Communications PLC is communications, marketing, design, advertising and analytical service provider. The company engages its business through three segments: Corporate Communications, Marketing and Advertising, and Head Office. Its operating segments include Corporate Communications and Marketing and Advertising through which it offers public relations, public affairs, media buying, advertising, marketing and corporate branding services. Its Head Office segment offers group treasury, and finance and management services. The majority of the company revenues are generated through the Corporate Communications segment mainly from the Europe and Asia-Pacific region.