ZEK (Zekelman Industries) Days Inventory: 63.22 (As of Jun. 2018)


What is Zekelman Industries Days Inventory?

Zekelman Industries ZEK Days Inventory is 63.22 as of Jun. 2018.

Days Inventory is also known as Days Sales of Inventory (DSI). Zekelman Industries's Average Total Inventories for the three months ended in Jun. 2018 was $395.82 Mil. Zekelman Industries's Cost of Goods Sold for the three months ended in Jun. 2018 was $571.36 Mil. Hence, Zekelman Industries's Days Inventory for the three months ended in Jun. 2018 was 63.22.

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

ZEK's Days Inventory is not ranked *
in the Steel industry.
Industry Median: 86.57
* Ranked among companies with meaningful Days Inventory only.

Zekelman Industries's Days Inventory increased from Sep. 2015 (0.00) to Jun. 2018 (63.22). It might indicate that Zekelman Industries's sales slowed down.

Inventory Turnover measures how fast the company turns over its inventory within a year. Zekelman Industries's Inventory Turnover for the three months ended in Jun. 2018 was 1.44.

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. Zekelman Industries's Inventory-to-Revenue for the three months ended in Jun. 2018 was 0.51.

Zekelman Industries  (NYSE:ZEK) 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.

Zekelman Industries's Inventory Turnover for the three months ended in Jun. 2018 is calculated as

Inventory Turnover=Cost of Goods Sold / Average Total Inventories
=571.359 / 395.821
=1.44

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.

Zekelman Industries's Inventory to Revenue for the three months ended in Jun. 2018 is calculated as

Inventory-to-Revenue=Average Total Inventories / Revenue
=395.821 / 783.134
=0.51

* 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.

Zekelman Industries Days Inventory Related Terms

Zekelman Industries Days Inventory Historical Data

* Premium members only.

The historical data trend for Zekelman Industries'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.

Zekelman Industries Days Inventory Chart

Zekelman Industries Annual Data
Trend Sep15 Sep16 Sep17
Days Inventory
0.00 61.53 59.99

Zekelman Industries Quarterly Data
Sep15 Sep16 Jun17 Sep17 Jun18
Days Inventory 0.00 0.00 41.36 62.37 63.22

ZEK vs : Days Inventory Comparison

For the Steel subindustry, Zekelman Industries'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.

Zekelman Industries Days Inventory vs Steel Industry

For the Steel industry and Basic Materials sector, Zekelman Industries's Days Inventory distribution charts can be found below:

* The bar in red indicates where Zekelman Industries's Days Inventory falls into.


Zekelman Industries Days Inventory Calculation

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

Zekelman Industries's Days Inventory for the fiscal year that ended in Sep. 2017 is calculated as

Days Inventory (A: Sep. 2017 )
=Average Total Inventories / Cost of Goods Sold*Days in Period
=( (Total Inventories (A: Sep. 2016 ) + Total Inventories (A: Sep. 2017 )) / count ) / Cost of Goods Sold (A: Sep. 2017 )*Days in Period
=( (202.343 + 342.6) / 2 ) / 1657.7*365
=272.4715 / 1657.7*365
=59.99

Zekelman Industries's Days Inventory for the quarter that ended in Jun. 2018 is calculated as:

Days Inventory (Q: Jun. 2018 )
=Average Total Inventories / Cost of Goods Sold*Days in Period
=( (Total Inventories (Q: Sep. 2017 ) + Total Inventories (Q: Jun. 2018 )) / count ) / Cost of Goods Sold (Q: Jun. 2018 )*Days in Period
=( (342.6 + 449.042) / 2 ) / 571.359*365 / 4
=395.821 / 571.359*365 / 4
=63.22

* 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 63.22 mean?
Zekelman Industries (ZEK) has a Days Inventory of 63.22 as of Jun. 2018. Days inventory represents the average amount of days a company holds inventory before selling it. View historical data on Zekelman Industries and its competitors.
Is Zekelman Industries' Days Inventory too high?
Zekelman Industries' current Days Inventory is 63.22. The Steel industry median Days Inventory is 86.57. Zekelman Industries' value of 63.22 is 27% below this industry median.
How does Zekelman Industries' Days Inventory compare to ?
Zekelman Industries' Days Inventory of 63.22 can be compared against companies in the Steel industry. The industry median Days Inventory is 86.57. Zekelman Industries' value of 63.22 is 27% below 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 Steel company?
The median Days Inventory among Steel companies is 86.57, based on 582 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. Zekelman Industries's current Days Inventory of 63.22 is 27% 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 Zekelman Industries and its competitors. For the Steel industry, the median Days Inventory is 86.57 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zekelman Industries's current Days Inventory is 63.22. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zekelman Industries stock overvalued right now?
Zekelman Industries (ZEK) has a current Days Inventory of 63.22. The current Days Inventory is 63.22 and 27% below the Steel industry median of 86.57. 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 Zekelman Industries (ZEK), the current Days Inventory is 63.22 as of Jun. 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.

Zekelman Industries Business Description

Comparable Companies
Address 227 West Monroe Street, Suite 2600, Chicago, IL, USA, 60606