BGEM (Blue Gem Enterprise) Inventory Turnover: 4.49 (As of Aug. 2010)


What is Blue Gem Enterprise Inventory Turnover?

Blue Gem Enterprise BGEM -98.75% Inventory Turnover is 4.49 as of Aug. 2010.

Inventory Turnover measures how fast the company turns over its inventory within a year. It is calculated as Cost of Goods Sold divided by Total Inventories. Blue Gem Enterprise's Cost of Goods Sold for the three months ended in Aug. 2010 was $0.70 Mil. Blue Gem Enterprise's Average Total Inventories for the quarter that ended in Aug. 2010 was $0.16 Mil. Blue Gem Enterprise's Inventory Turnover for the quarter that ended in Aug. 2010 was 4.49.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Blue Gem Enterprise's Days Inventory for the three months ended in Aug. 2010 was 20.31.

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. Blue Gem Enterprise's Inventory-to-Revenue for the quarter that ended in Aug. 2010 was 0.22.

Blue Gem Enterprise  (OTCPK:BGEM) Inventory Turnover Explanation

Inventory Turnover measures how fast the company turns over its inventory within a year. A higher Inventory Turnover means the company has light inventory. Therefore the company spends less money on storage, write downs, and obsolete inventory. If the inventory is too light, it may affect sales because the company may not have enough to meet demand.

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

Blue Gem Enterprise's Days Inventory for the three months ended in Aug. 2010 is calculated as:

Days Inventory =Average Total Inventories (Q: Aug. 2010 )/Cost of Goods Sold (Q: Aug. 2010 )*Days in Period
=0.156/0.701*365 / 4
=20.31

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.

Blue Gem Enterprise's Inventory to Revenue for the quarter that ended in Aug. 2010 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Aug. 2010 ) / Revenue (Q: Aug. 2010 )
=0.156 / 0.719
=0.22

* 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.

Be Aware

Usually retailers pile up their inventories at holiday seasons to meet the stronger demand. Therefore, the inventory of a particular quarter of a year should not be used to calculate Inventory Turnover. An average inventory is a better indication.

Blue Gem Enterprise Inventory Turnover Related Terms

Blue Gem Enterprise Inventory Turnover Historical Data

* Premium members only.

The historical data trend for Blue Gem Enterprise's Inventory Turnover 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.

Blue Gem Enterprise Inventory Turnover Chart

Blue Gem Enterprise Annual Data
Trend May08 May09 May10
Inventory Turnover
0.00 0.00 0.00

Blue Gem Enterprise Quarterly Data
Aug07 Feb08 May08 Aug08 Nov08 Feb09 May09 Aug09 Nov09 Feb10 May10 Aug10
Inventory Turnover Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only 0.00 0.00 0.00 0.00 4.49

Blue Gem Enterprise Inventory Turnover Calculation

Blue Gem Enterprise's Inventory Turnover for the fiscal year that ended in May. 2010 is calculated as

Inventory Turnover (A: May. 2010 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: May. 2010 ) / ((Total Inventories (A: May. 2009 ) + Total Inventories (A: May. 2010 )) / count )
=0.132 / ((0 + 0) / 1 )
=0.132 / 0
=N/A

Blue Gem Enterprise's Inventory Turnover for the quarter that ended in Aug. 2010 is calculated as

Inventory Turnover (Q: Aug. 2010 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Aug. 2010 ) / ((Total Inventories (Q: May. 2010 ) + Total Inventories (Q: Aug. 2010 )) / count )
=0.701 / ((0 + 0.156) / 1 )
=0.701 / 0.156
=4.49

* 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 Inventory Turnover →
What does a Inventory Turnover of 4.49 mean?
Blue Gem Enterprise (BGEM) has a Inventory Turnover of 4.49 as of Aug. 2010. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Blue Gem Enterprise and its competitors.
Is Blue Gem Enterprise's Inventory Turnover too high?
Blue Gem Enterprise's current Inventory Turnover is 4.49.
How does Blue Gem Enterprise's Inventory Turnover compare to BEVS and MOJO?
Blue Gem Enterprise's Inventory Turnover of 4.49 can be compared against companies in the Beverages - Non-Alcoholic industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Inventory Turnover for a Beverages - Non-Alcoholic company?
A good Inventory Turnover depends on the Beverages - Non-Alcoholic industry context. However, Inventory Turnover 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 Inventory Turnover mean?
A high Inventory Turnover can signal that a stock is expensive relative to its fundamentals. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Blue Gem Enterprise and its competitors. Blue Gem Enterprise's current Inventory Turnover is 4.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Blue Gem Enterprise stock overvalued right now?
Blue Gem Enterprise (BGEM) has a current Inventory Turnover of 4.49. The current Inventory Turnover is 4.49. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Inventory Turnover calculated?
Inventory Turnover is calculated from a company's financial statements. For Blue Gem Enterprise (BGEM), the current Inventory Turnover is 4.49 as of Aug. 2010. 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.

Blue Gem Enterprise Business Description

Address 12805 N. W. 42 Avenue, Opa-locka, FL, USA, 33054
Blue Gem Enterprise focuses on operating as a full-service direct store beverage distribution company. The company expects to manage and distribute select allied brands with beverage manufacturers. It is competing in all areas of the non-alcoholic beverage industry including; ice teas, juices, waters, shots, carbonated soft drinks, and more.