Fonterra Co-operative Group (NZSE:FCG) Inventory Turnover: 1.94 (As of Jan. 2026)

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NZSE:FCG Fonterra Co-operative Group Ltd NZSE:FCG
67 GF Score
Price NZ$4.22
GF Value NZ$2.96
Valuation Significantly Overvalued
! 5 Warning Signs
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What is Fonterra Co-operative Group Inventory Turnover?

Fonterra Co-operative Group NZSE:FCG +0.48% 67 Inventory Turnover is 1.94 as of Jan. 2026. GuruFocus rates NZSE:FCG with a GF Score™ of 67/100 and a GF Value™ of NZ$2.96 (Significantly Overvalued). The stock has 5 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. Fonterra Co-operative Group's Cost of Goods Sold for the six months ended in Jan. 2026 was NZ$10,580 Mil. Fonterra Co-operative Group's Average Total Inventories for the quarter that ended in Jan. 2026 was NZ$5,443 Mil. Fonterra Co-operative Group's Inventory Turnover for the quarter that ended in Jan. 2026 was 1.94.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Fonterra Co-operative Group's Days Inventory for the six months ended in Jan. 2026 was 93.89.

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. Fonterra Co-operative Group's Inventory-to-Revenue for the quarter that ended in Jan. 2026 was 0.44.

Fonterra Co-operative Group  (NZSE:FCG) 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.

Fonterra Co-operative Group's Days Inventory for the six months ended in Jan. 2026 is calculated as:

Days Inventory =Average Total Inventories (Q: Jan. 2026 )/Cost of Goods Sold (Q: Jan. 2026 )*Days in Period
=5443/10580*365 / 2
=93.89

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.

Fonterra Co-operative Group's Inventory to Revenue for the quarter that ended in Jan. 2026 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Jan. 2026 ) / Revenue (Q: Jan. 2026 )
=5443 / 12464
=0.44

* 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.

Fonterra Co-operative Group Inventory Turnover Related Terms

Fonterra Co-operative Group Inventory Turnover Historical Data

* Premium members only.

The historical data trend for Fonterra Co-operative 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.

Fonterra Co-operative Group Inventory Turnover Chart

Fonterra Co-operative Group Annual Data
Trend Jul16 Jul17 Jul18 Jul19 Jul20 Jul21 Jul22 Jul23 Jul24 Jul25
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 5.00 4.26 4.32 4.00 4.84

Fonterra Co-operative Group Semi-Annual Data
Jul16 Jan17 Jul17 Jan18 Jul18 Jan19 Jul19 Jan20 Jul20 Jan21 Jul21 Jan22 Jul22 Jan23 Jul23 Jan24 Jul24 Jan25 Jul25 Jan26
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 1.67 1.54 1.55 1.84 1.94
NZSE:FCG
67GF Score
Fonterra Co-operative Group Ltd NZSE:FCG
Inventory Turnover is just one metric. See GF Score™, valuation, warning signs, and more.
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Fonterra Co-operative Group Inventory Turnover Calculation

Fonterra Co-operative Group's Inventory Turnover for the fiscal year that ended in Jul. 2025 is calculated as

Inventory Turnover (A: Jul. 2025 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (A: Jul. 2025 ) / ((Total Inventories (A: Jul. 2024 ) + Total Inventories (A: Jul. 2025 )) / count )
=20826 / ((4405 + 4204) / 2 )
=20826 / 4304.5
=4.84

Fonterra Co-operative Group's Inventory Turnover for the quarter that ended in Jan. 2026 is calculated as

Inventory Turnover (Q: Jan. 2026 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Jan. 2026 ) / ((Total Inventories (Q: Jul. 2025 ) + Total Inventories (Q: Jan. 2026 )) / count )
=10580 / ((4204 + 6682) / 2 )
=10580 / 5443
=1.94

* 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 1.94 mean?
Fonterra Co-operative Group (NZSE:FCG) has a Inventory Turnover of 1.94 as of Jan. 2026. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Fonterra Co-operative Group and its competitors.
Is Fonterra Co-operative Group's Inventory Turnover too high?
Fonterra Co-operative Group's current Inventory Turnover is 1.94. Overall, Fonterra Co-operative Group has a GF Score™ of 67/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Fonterra Co-operative Group's Inventory Turnover compare to KHC and GIS?
Fonterra Co-operative Group's Inventory Turnover of 1.94 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 Fonterra Co-operative Group and its competitors. Fonterra Co-operative Group's current Inventory Turnover is 1.94. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Fonterra Co-operative Group stock overvalued right now?
Based on GuruFocus' analysis, Fonterra Co-operative Group (NZSE:FCG) is currently considered Significantly Overvalued. The stock's GF Value™ is NZ$2.96, compared to a current price of NZ$4.22 — trading 42.6% above its estimated fair value. The current Inventory Turnover is 1.94. Fonterra Co-operative Group's overall GF Score™ is 67/100 with 5 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 Fonterra Co-operative Group (NZSE:FCG), the current Inventory Turnover is 1.94 as of Jan. 2026. 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.

Is Fonterra Co-operative Group (NZSE:FCG) Overvalued in 2026?

Based on GuruFocus' analysis, Fonterra Co-operative Group stock appears to be overvalued. The current stock price of NZ$4.22 is trading 42.6% above its estimated GF Value™ of NZ$2.96. GuruFocus considers Fonterra Co-operative Group to be Significantly Overvalued.

Key valuation signals for NZSE:FCG:

  • Inventory Turnover: 1.94
  • GF Value™: NZ$2.96 vs. price of NZ$4.22 (42.6% above fair value)
  • GF Score™: 67/100 with 5 warning signs

No single metric tells the full story. See the NZSE:FCG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Fonterra Co-operative Group Business Description

Address 109 Fanshawe Street, Auckland Central, Auckland, NTL, NZL, 1010
Fonterra Co-operative Group Ltd operates predominantly in the international dairy industry. The company is involved in the collection, manufacture, and sale of milk and milk-derived products through its ingredients, Consumer and Foodservice channels. The company's reportable segments are Global Markets, Greater China, and Core Operations and the majority of the revenue is generated from its core operations segment. Its primary geographic markets is Asia, China, Australia, New Zealand, the United States, and the Rest of the world.
67GF Score

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

NZ$4.22
Price
NZ$2.96
GF Value