HERB (Yasheng Group) Inventory Turnover: 1.06 (As of Dec. 2015)


What is Yasheng Group Inventory Turnover?

Yasheng Group HERB -22.56% Inventory Turnover is 1.06 as of Dec. 2015.

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. Yasheng Group's Cost of Goods Sold for the three months ended in Dec. 2015 was $204.2 Mil. Yasheng Group's Average Total Inventories for the quarter that ended in Dec. 2015 was $192.7 Mil. Yasheng Group's Inventory Turnover for the quarter that ended in Dec. 2015 was 1.06.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Yasheng Group's Days Inventory for the three months ended in Dec. 2015 was 86.09.

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. Yasheng Group's Inventory-to-Revenue for the quarter that ended in Dec. 2015 was 0.84.

Yasheng Group  (OTCPK:HERB) 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.

Yasheng Group's Days Inventory for the three months ended in Dec. 2015 is calculated as:

Days Inventory =Average Total Inventories (Q: Dec. 2015 )/Cost of Goods Sold (Q: Dec. 2015 )*Days in Period
=192.701/204.245*365 / 4
=86.09

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.

Yasheng Group's Inventory to Revenue for the quarter that ended in Dec. 2015 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Dec. 2015 ) / Revenue (Q: Dec. 2015 )
=192.701 / 229.259
=0.84

* 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.

Yasheng Group Inventory Turnover Related Terms

Yasheng Group Inventory Turnover Historical Data

* Premium members only.

The historical data trend for Yasheng Group'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.

Yasheng Group Inventory Turnover Chart

Yasheng Group Annual Data
Trend Dec06 Dec07 Dec08 Dec09 Dec10 Dec11 Dec12 Dec13 Dec14 Dec15
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.78 4.68 3.18 2.63 4.78

Yasheng Group Quarterly Data
Mar11 Jun11 Sep11 Dec11 Mar12 Jun12 Sep12 Dec12 Mar13 Jun13 Sep13 Dec13 Mar14 Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15
Inventory Turnover 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 0.72 0.55 0.58 0.61 1.06

Yasheng Group Inventory Turnover Calculation

Yasheng Group's Inventory Turnover for the fiscal year that ended in Dec. 2015 is calculated as

Inventory Turnover (A: Dec. 2015 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Dec. 2015 ) / ((Total Inventories (A: Dec. 2014 ) + Total Inventories (A: Dec. 2015 )) / count )
=819.738 / ((341.756 + 1.251) / 2 )
=819.738 / 171.5035
=4.78

Yasheng Group's Inventory Turnover for the quarter that ended in Dec. 2015 is calculated as

Inventory Turnover (Q: Dec. 2015 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Dec. 2015 ) / ((Total Inventories (Q: Sep. 2015 ) + Total Inventories (Q: Dec. 2015 )) / count )
=204.245 / ((384.151 + 1.251) / 2 )
=204.245 / 192.701
=1.06

* 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 1.06 mean?
Yasheng Group (HERB) has a Inventory Turnover of 1.06 as of Dec. 2015. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Yasheng Group and its competitors.
Is Yasheng Group's Inventory Turnover too high?
Yasheng Group's current Inventory Turnover is 1.06.
How does Yasheng Group's Inventory Turnover compare to BIQI?
Yasheng Group's Inventory Turnover of 1.06 can be compared against companies in the Consumer Packaged Goods 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 Consumer Packaged Goods company?
A good Inventory Turnover depends on the Consumer Packaged Goods 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 Yasheng Group and its competitors. Yasheng Group's current Inventory Turnover is 1.06. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Yasheng Group stock overvalued right now?
Yasheng Group (HERB) has a current Inventory Turnover of 1.06. The current Inventory Turnover is 1.06. 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 Yasheng Group (HERB), the current Inventory Turnover is 1.06 as of Dec. 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.

Yasheng Group Business Description

Address 710 Lakeway Drive, Suite 200, Sunnyvale, CA, USA, 94085
Yasheng Group is a Colorado corporation, a U.S. company that conducts business operations in the U.S., China, and the Philippines through four segments: Mining, Agriculture and Biotechnology, and Blockchain+ IOT. The company's agricultural products include herbal medicines, organic herbal food products, ginkgo, songaricum, betel nut, coconut, coffee, wolfberry, hemp, and other specialty crops. It also designs, develops, and markets new technologies related to agriculture and genetic biology.