KEGX (Key Energy Services) Inventory Turnover: 3.00 (As of Sep. 2020)

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KEGX Key Energy Services Inc KEGX
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What is Key Energy Services Inventory Turnover?

Key Energy Services KEGX 12 Inventory Turnover is 3.00 as of Sep. 2020. GuruFocus rates KEGX with a GF Score™ of 12/100.

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. Key Energy Services's Cost of Goods Sold for the three months ended in Sep. 2020 was $40.7 Mil. Key Energy Services's Average Total Inventories for the quarter that ended in Sep. 2020 was $13.6 Mil. Key Energy Services's Inventory Turnover for the quarter that ended in Sep. 2020 was 3.00.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Key Energy Services's Days Inventory for the three months ended in Sep. 2020 was 30.42.

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. Key Energy Services's Inventory-to-Revenue for the quarter that ended in Sep. 2020 was 0.32.

Key Energy Services  (OTCPK:KEGX) 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.

Key Energy Services's Days Inventory for the three months ended in Sep. 2020 is calculated as:

Days Inventory =Average Total Inventories (Q: Sep. 2020 )/Cost of Goods Sold (Q: Sep. 2020 )*Days in Period
=13.5565/40.663*365 / 4
=30.42

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.

Key Energy Services's Inventory to Revenue for the quarter that ended in Sep. 2020 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Sep. 2020 ) / Revenue (Q: Sep. 2020 )
=13.5565 / 42.911
=0.32

* 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.

Key Energy Services Inventory Turnover Related Terms

Key Energy Services Inventory Turnover Historical Data

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The historical data trend for Key Energy Services'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.

Key Energy Services Inventory Turnover Chart

Key Energy Services Annual Data
Trend Dec10 Dec11 Dec12 Dec13 Dec14 Dec15 Dec16 Dec17 Dec18 Dec19
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 30.05 19.13 19.29 26.58 26.54

Key Energy Services Quarterly Data
Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20
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 6.83 5.60 5.26 2.76 3.00
KEGX
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Key Energy Services Inc KEGX
Inventory Turnover is just one metric. See GF Score™, valuation, warning signs, and more.
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Key Energy Services Inventory Turnover Calculation

Key Energy Services's Inventory Turnover for the fiscal year that ended in Dec. 2019 is calculated as

Inventory Turnover (A: Dec. 2019 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Dec. 2019 ) / ((Total Inventories (A: Dec. 2018 ) + Total Inventories (A: Dec. 2019 )) / count )
=390.431 / ((15.861 + 13.565) / 2 )
=390.431 / 14.713
=26.54

Key Energy Services's Inventory Turnover for the quarter that ended in Sep. 2020 is calculated as

Inventory Turnover (Q: Sep. 2020 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Sep. 2020 ) / ((Total Inventories (Q: Jun. 2020 ) + Total Inventories (Q: Sep. 2020 )) / count )
=40.663 / ((13.698 + 13.415) / 2 )
=40.663 / 13.5565
=3.00

* 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 3.00 mean?
Key Energy Services (KEGX) has a Inventory Turnover of 3.00 as of Sep. 2020. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Key Energy Services and its competitors.
Is Key Energy Services' Inventory Turnover too high?
Key Energy Services' current Inventory Turnover is 3.00. Overall, Key Energy Services has a GF Score™ of 12/100, reflecting its overall financial health beyond just this single metric.
How does Key Energy Services' Inventory Turnover compare to GEOS and NGS?
Key Energy Services' Inventory Turnover of 3.00 can be compared against companies in the Oil & Gas 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 an Oil & Gas company?
A good Inventory Turnover depends on the Oil & Gas 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 Key Energy Services and its competitors. Key Energy Services's current Inventory Turnover is 3.00. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Key Energy Services stock overvalued right now?
Key Energy Services (KEGX) has a current Inventory Turnover of 3.00. The current Inventory Turnover is 3.00. Key Energy Services' overall GF Score™ is 12/100. 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 Key Energy Services (KEGX), the current Inventory Turnover is 3.00 as of Sep. 2020. 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.

Key Energy Services Business Description

Industry EnergyOil & Gas
Address 1301 McKinney Street, Suite 1800, Houston, TX, USA, 77010
Key Energy Services Inc is an onshore, rig-based well-servicing contractor. It provides a full range of well-services to oil companies, and independent oil and natural gas production companies. Its services include rig-based and coiled tubing-based well maintenance and workover services, well completion and re-completion services, fluid management services, fishing, and rental services, and other ancillary oilfield services. Its segment includes Rig Services, Fishing, and Rental Services, Coiled Tubing Services and Fluid Management Services within the United States. The company derives the maximum revenue from the Rig Services segment.
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