Forge Auto International (NSE:FORGEAUTO) Inventory Turnover: 2.94 (As of Mar. 2025)

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NSE:FORGEAUTO Forge Auto International Ltd NSE:FORGEAUTO
16 GF Score
Price ₹84.30
! 3 Warning Signs
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What is Forge Auto International Inventory Turnover?

Forge Auto International NSE:FORGEAUTO 16 Inventory Turnover is 2.94 as of Mar. 2025. GuruFocus rates NSE:FORGEAUTO with a GF Score™ of 16/100. The stock has 3 warning signs investors should review.

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. Forge Auto International's Cost of Goods Sold for the six months ended in Mar. 2025 was ₹1,330 Mil. Forge Auto International's Average Total Inventories for the quarter that ended in Mar. 2025 was ₹453 Mil. Forge Auto International's Inventory Turnover for the quarter that ended in Mar. 2025 was 2.94.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Forge Auto International's Days Inventory for the six months ended in Mar. 2025 was 62.17.

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. Forge Auto International's Inventory-to-Revenue for the quarter that ended in Mar. 2025 was 0.22.


Forge Auto International  (NSE:FORGEAUTO) 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.

Forge Auto International's Days Inventory for the six months ended in Mar. 2025 is calculated as:

Days Inventory =Average Total Inventories (Q: Mar. 2025 )/Cost of Goods Sold (Q: Mar. 2025 )*Days in Period
=453.1895/1330.429*365 / 2
=62.17

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.

Forge Auto International's Inventory to Revenue for the quarter that ended in Mar. 2025 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Mar. 2025 ) / Revenue (Q: Mar. 2025 )
=453.1895 / 2098.943
=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.


Forge Auto International Inventory Turnover Related Terms


Forge Auto International Inventory Turnover Historical Data

* Premium members only.

The historical data trend for Forge Auto International'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.

Forge Auto International Inventory Turnover Chart

Forge Auto International Annual Data
Trend Mar22 Mar23 Mar24 Mar25
Inventory Turnover
7.99 7.28 3.82 2.94

Forge Auto International Semi-Annual Data
Mar22 Mar23 Mar24 Mar25
Inventory Turnover 7.99 7.28 3.82 2.94
NSE:FORGEAUTO
16GF Score
Forge Auto International Ltd NSE:FORGEAUTO
Inventory Turnover is just one metric. See GF Score™, valuation, warning signs, and more.
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Forge Auto International Inventory Turnover Calculation

Forge Auto International's Inventory Turnover for the fiscal year that ended in Mar. 2025 is calculated as

Inventory Turnover (A: Mar. 2025 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Mar. 2025 ) / ((Total Inventories (A: Mar. 2024 ) + Total Inventories (A: Mar. 2025 )) / count )
=1330.429 / ((355.402 + 550.977) / 2 )
=1330.429 / 453.1895
=2.94

Forge Auto International's Inventory Turnover for the quarter that ended in Mar. 2025 is calculated as

Inventory Turnover (Q: Mar. 2025 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Mar. 2025 ) / ((Total Inventories (Q: Mar. 2024 ) + Total Inventories (Q: Mar. 2025 )) / count )
=1330.429 / ((355.402 + 550.977) / 2 )
=1330.429 / 453.1895
=2.94

* 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 2.94 mean?
Forge Auto International (NSE:FORGEAUTO) has a Inventory Turnover of 2.94 as of Mar. 2025. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Forge Auto International and its competitors.
Is Forge Auto International's Inventory Turnover too high?
Forge Auto International's current Inventory Turnover is 2.94. Overall, Forge Auto International has a GF Score™ of 16/100, reflecting its overall financial health beyond just this single metric.
How does Forge Auto International's Inventory Turnover compare to ORLY and AZO?
Forge Auto International's Inventory Turnover of 2.94 can be compared against companies in the Vehicles & Parts 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 Vehicles & Parts company?
A good Inventory Turnover depends on the Vehicles & Parts 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 Forge Auto International and its competitors. Forge Auto International's current Inventory Turnover is 2.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Forge Auto International stock overvalued right now?
Forge Auto International (NSE:FORGEAUTO) has a current Inventory Turnover of 2.94. The current Inventory Turnover is 2.94. Forge Auto International's overall GF Score™ is 16/100 with 3 warning signs to review. 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 Forge Auto International (NSE:FORGEAUTO), the current Inventory Turnover is 2.94 as of Mar. 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.

Forge Auto International Business Description

Address Machhiwara Road, Village Mangarh, Kohara, Ludhiana, PB, IND, 141112
Forge Auto International Ltd is an engineering company engaged in forging and manufacturing of complex and safety-critical, forged and precision machined components such as big rings, small rings, big ball studs, gear blank with a broach, stub axle assembly, flange yoke 325 HS, catering to different industry sectors like auto industry including automobiles, tractors, railways etc. and non-auto sectors like agriculture parts, hydraulic parts, striking tools etc. It serves its customers comprising of domestic and global original equipment manufacturers (OEMs) engaged in manufacturing for both the automotive sector and other nonautomotive sector, used across industries by a diversified base of customers.
16GF Score

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

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