Headwaters Co (TSE:4011) Days Inventory: 2.35 (As of Dec. 2025) — 30% Below Median

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TSE:4011 Headwaters Co Ltd TSE:4011
75 GF Score
Price 円2,059.00
GF Value 円8,087.98
Valuation Possible Value Trap
! 5 Warning Signs
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What is Headwaters Co Days Inventory?

Headwaters Co TSE:4011 -3.92% 75 Days Inventory is 2.35 as of Dec. 2025, which is 30% below its 10-year median of 3.37. GuruFocus rates TSE:4011 with a GF Score™ of 75/100 and a GF Value™ of 円8,087.98 (Possible Value Trap). The stock has 5 warning signs investors should review. Among 1,653 Software companies, Headwaters Co ranks better than 82.46% on this metric.

Days Inventory is also known as Days Sales of Inventory (DSI). Headwaters Co's Average Total Inventories for the three months ended in Dec. 2025 was 円17 Mil. Headwaters Co's Cost of Goods Sold for the three months ended in Dec. 2025 was 円670 Mil. Hence, Headwaters Co's Days Inventory for the three months ended in Dec. 2025 was 2.35.

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

TSE:4011' s Days Inventory Range Over the Past 10 Years
Min: 1.79   Med: 3.37   Max: 6.3
Current: 1.81

During the past 8 years, Headwaters Co's highest Days Inventory was 6.30. The lowest was 1.79. And the median was 3.37.

TSE:4011's Days Inventory is ranked better than
82.46% of 1653 companies
in the Software industry
Industry Median: 20.41 vs TSE:4011: 1.81

Headwaters Co's Days Inventory increased from Dec. 2024 (0.00) to Dec. 2025 (2.35). It might indicate that Headwaters Co's sales slowed down.

Inventory Turnover measures how fast the company turns over its inventory within a year. Headwaters Co's Inventory Turnover for the three months ended in Dec. 2025 was 38.89.

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. Headwaters Co's Inventory-to-Revenue for the three months ended in Dec. 2025 was 0.01.


Headwaters Co  (TSE:4011) 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.

Headwaters Co's Inventory Turnover for the three months ended in Dec. 2025 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.

Headwaters Co's Inventory to Revenue for the three months ended in Dec. 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.


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.


Headwaters Co Days Inventory Related Terms


Headwaters Co Days Inventory Historical Data

* Premium members only.

The historical data trend for Headwaters Co'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.

Headwaters Co Days Inventory Chart

Headwaters Co Annual Data
Trend Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Days Inventory
Get a 7-Day Free Trial 6.30 5.08 3.35 2.24 1.79

Headwaters Co Quarterly Data
Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 0.60 1.19 2.22 2.35 1.98

TSE:4011 vs UBER, SHOP, CRM: Days Inventory Comparison

For the Software - Application subindustry, Headwaters Co'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.


Headwaters Co Days Inventory vs Software Industry

For the Software industry and Technology sector, Headwaters Co's Days Inventory distribution charts can be found below:

* The bar in red indicates where Headwaters Co's Days Inventory falls into.


TSE:4011
75GF Score
Headwaters Co Ltd TSE:4011
Days Inventory is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Headwaters Co Days Inventory Calculation

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

Headwaters Co's Days Inventory for the fiscal year that ended in Dec. 2025 is calculated as

Days Inventory (A: Dec. 2025 )
=Average Total Inventories / Cost of Goods Sold*Days in Period
=( (Total Inventories (A: Dec. 2024 ) + Total Inventories (A: Dec. 2025 )) / count ) / Cost of Goods Sold (A: Dec. 2025 )*Days in Period
=( (3.955 + 17.349) / 2 ) / 2167.305*365
=10.652 / 2167.305*365
=1.79

Headwaters Co's Days Inventory for the quarter that ended in Dec. 2025 is calculated as:

Days Inventory (Q: Dec. 2025 )
=Average Total Inventories / Cost of Goods Sold*Days in Period
=( (Total Inventories (Q: Sep. 2025 ) + Total Inventories (Q: Dec. 2025 )) / count ) / Cost of Goods Sold (Q: Dec. 2025 )*Days in Period
=( (17.112 + 17.349) / 2 ) / 670.105*365 / 4
=17.2305 / 670.105*365 / 4
=2.35

* 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 2.35 mean?
Headwaters Co (TSE:4011) has a Days Inventory of 2.35 as of Dec. 2025. Days inventory represents the average amount of days a company holds inventory before selling it. View historical data on Headwaters Co and its competitors. This is 30% below median its historical median of 3.37. Over the past decade, Headwaters Co's Days Inventory has ranged from 1.79 to 6.30. According to the industry distribution chart, Headwaters Co ranks #290 out of 1653 companies in the Software industry, placing it in the top 17.5%.
Is Headwaters Co's Days Inventory too high?
Headwaters Co's current Days Inventory of 2.35 is 30% below median its 10-year median of 3.37. Over the past 10 years, this metric has ranged from a low of 1.79 to a high of 6.30. The Software industry median Days Inventory is 20.41. Headwaters Co's value of 2.35 is 88.5% below this industry median. Based on the distribution chart, Headwaters Co ranks #290 out of 1653 companies in the Software industry, which is in the top quartile — a strong position relative to peers. Overall, Headwaters Co has a GF Score™ of 75/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Headwaters Co's Days Inventory compare to UBER and SHOP?
According to the Software industry distribution chart, Headwaters Co ranks #290 out of 1653 companies for Days Inventory. This places Headwaters Co in the top 18% of its industry — outperforming the majority of peers. The industry median Days Inventory is 20.41. Headwaters Co's value of 2.35 is 88.5% below this benchmark. Historically, Headwaters Co's own Days Inventory has ranged from 1.79 to 6.30 over the past decade. While the company's 10-year median is 3.37 vs. the industry median of 20.41, Headwaters Co has consistently been below 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 Software company?
The median Days Inventory among Software companies is 20.41, based on 1,653 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. Headwaters Co's current Days Inventory of 2.35 is 88.5% 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 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 Headwaters Co and its competitors. For the Software industry, the median Days Inventory is 20.41 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Headwaters Co's current Days Inventory is 2.35, which is 30% below median its own 10-year median of 3.37. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Headwaters Co stock overvalued right now?
Based on GuruFocus' analysis, Headwaters Co (TSE:4011) is currently considered Possible Value Trap. The stock's GF Value™ is 円8,087.98, compared to a current price of 円2,059.00 — trading 74.5% below its estimated fair value. The current Days Inventory is 2.35, which is 30% below median its 10-year median of 3.37 and 88.5% below the Software industry median of 20.41. Headwaters Co's overall GF Score™ is 75/100 with 5 warning signs to review. 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 Headwaters Co (TSE:4011), the current Days Inventory is 2.35 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 Headwaters Co (TSE:4011) Overvalued in 2026?

Based on GuruFocus' analysis, Headwaters Co stock appears to be undervalued. The current stock price of 円2,059.00 is trading 74.5% below its estimated GF Value™ of 円8,087.98. GuruFocus considers Headwaters Co to be Possible Value Trap.

Key valuation signals for TSE:4011:

  • Days Inventory: 2.35 (30% below median its 10-year median of 3.37)
  • GF Value™: 円8,087.98 vs. price of 円2,059.00 (74.5% below fair value)
  • GF Score™: 75/100 with 5 warning signs
  • Industry Position: 88.5% below the Software median (#290 of 1653)

No single metric tells the full story. See the TSE:4011 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Headwaters Co Business Description

Address 6-5-1 Nishi-Shinjuku, Shinjuku-ku, 4th floor, Shinjuku Island Tower, Tokyo, JPN, 163-1304
Headwaters Co Ltd is engaged in the planning and development of artificial intelligence (AI) applications. It develops AI-related businesses such as AI platform operation, AI application development, robot application development, and cloud service operation. The group has a single segment, the AI solutions business.
75GF Score

Get the complete analysis for TSE:4011

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

円2,059.00
Price
円8,087.98
GF Value