RYCEY (Rolls-Royce Holdings) Inventory Turnover: 1.48 (As of Dec. 2025)

What is Rolls-Royce Holdings Inventory Turnover?

Rolls-Royce Holdings RYCEY +1.69% 70 Inventory Turnover is 1.48 as of Dec. 2025. GuruFocus rates RYCEY with a GF Score™ of 70/100 and a GF Value™ of $8.39 (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. Rolls-Royce Holdings's Cost of Goods Sold for the six months ended in Dec. 2025 was $11,337 Mil. Rolls-Royce Holdings's Average Total Inventories for the quarter that ended in Dec. 2025 was $7,641 Mil. Rolls-Royce Holdings's Inventory Turnover for the quarter that ended in Dec. 2025 was 1.48.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Rolls-Royce Holdings's Days Inventory for the six months ended in Dec. 2025 was 122.99.

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. Rolls-Royce Holdings's Inventory-to-Revenue for the quarter that ended in Dec. 2025 was 0.49.

Rolls-Royce Holdings (OTCPK:RYCEY) 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.

Rolls-Royce Holdings's Days Inventory for the six months ended in Dec. 2025 is calculated as:

Days Inventory	=	Average Total Inventories (Q: Dec. 2025 )	/	Cost of Goods Sold (Q: Dec. 2025 )	*	Days in Period
	=	7640.651	/	11337.349	*	365 / 2
	=	122.99

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.

Rolls-Royce Holdings's Inventory to Revenue for the quarter that ended in Dec. 2025 is calculated as

Inventory-to-Revenue	=	Average Total Inventories (Q: Dec. 2025 )	/	Revenue (Q: Dec. 2025 )
	=	7640.651	/	15685.408
	=	0.49

* 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.

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.

Rolls-Royce Holdings Inventory Turnover Related Terms

Rolls-Royce Holdings Inventory Turnover Historical Data

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The historical data trend for Rolls-Royce Holdings's Inventory Turnover can be seen below:

Rolls-Royce Holdings Inventory Turnover Chart

Rolls-Royce Holdings Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

Inventory Turnover

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2.46

2.47

2.74

2.95

2.85

Rolls-Royce Holdings Semi-Annual Data
	Jun16	Dec16	Jun17	Dec17	Jun18	Dec18	Jun19	Dec19	Jun20	Dec20	Jun21	Dec21	Jun22	Dec22	Jun23	Dec23	Jun24	Dec24	Jun25	Dec25
Inventory Turnover	Get a 7-Day Free Trial															1.41	1.31	1.50	1.27	1.48

70GF Score

Rolls-Royce Holdings PLC RYCEY

Inventory Turnover is just one metric. See GF Score™, valuation, warning signs, and more.

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Rolls-Royce Holdings Inventory Turnover Calculation

Rolls-Royce Holdings's Inventory Turnover for the fiscal year that ended in Dec. 2025 is calculated as

	Inventory Turnover (A: Dec. 2025 )
=	Cost of Goods Sold	/	Average Total Inventories
=	Cost of Goods Sold (A: Dec. 2025 )	/ (	(Total Inventories (A: Dec. 2024 )	+	Total Inventories (A: Dec. 2025 ))	/	count )
=	20123.159	/ (	(6437.421	+	7668.005)	/	2 )
=	20123.159	/	7052.713
=	2.85

Rolls-Royce Holdings's Inventory Turnover for the quarter that ended in Dec. 2025 is calculated as

	Inventory Turnover (Q: Dec. 2025 )
=	Cost of Goods Sold	/	Average Total Inventories
=	Cost of Goods Sold (Q: Dec. 2025 )	/ (	(Total Inventories (Q: Jun. 2025 )	+	Total Inventories (Q: Dec. 2025 ))	/	count )
=	11337.349	/ (	(7613.297	+	7668.005)	/	2 )
=	11337.349	/	7640.651
=	1.48

Frequently Asked Questions Learn more about Inventory Turnover →

What does a Inventory Turnover of 1.48 mean?

Rolls-Royce Holdings (RYCEY) has a Inventory Turnover of 1.48 as of Dec. 2025. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Rolls-Royce Holdings and its competitors.

Is Rolls-Royce Holdings' Inventory Turnover too high?

Rolls-Royce Holdings' current Inventory Turnover is 1.48. Overall, Rolls-Royce Holdings has a GF Score™ of 70/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.

How does Rolls-Royce Holdings' Inventory Turnover compare to SPCX and GE?

Rolls-Royce Holdings' Inventory Turnover of 1.48 can be compared against companies in the Aerospace & Defense 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 Aerospace & Defense company?

A good Inventory Turnover depends on the Aerospace & Defense 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 Rolls-Royce Holdings and its competitors. Rolls-Royce Holdings's current Inventory Turnover is 1.48. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Rolls-Royce Holdings stock overvalued right now?

Based on GuruFocus' analysis, Rolls-Royce Holdings (RYCEY) is currently considered Significantly Overvalued. The stock's GF Value™ is $8.39, compared to a current price of $19.25 — trading 129.4% above its estimated fair value. The current Inventory Turnover is 1.48. Rolls-Royce Holdings' overall GF Score™ is 70/100 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 Rolls-Royce Holdings (RYCEY), the current Inventory Turnover is 1.48 as of Dec. 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.

Is Rolls-Royce Holdings (RYCEY) Overvalued in 2026?

Based on GuruFocus' analysis, Rolls-Royce Holdings stock appears to be overvalued. The current stock price of $19.25 is trading 129.4% above its estimated GF Value™ of $8.39. GuruFocus considers Rolls-Royce Holdings to be Significantly Overvalued.

Key valuation signals for RYCEY:

Inventory Turnover: 1.48
GF Value™: $8.39 vs. price of $19.25 (129.4% above fair value)
GF Score™: 70/100 with 5 warning signs

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

Rolls-Royce Holdings Business Description

Industry Industrials Aerospace & Defense

Comparable Companies LSE:BA.LSE:QQ.LSE:CHG LSE:SNR LSE:CHRT LSE:AVON LSE:ALRT LSE:VEL SPCX GE RTX XPAR:AIR BA XPAR:SAF LMT HWM GD TDG NOC HONAV

Other Exchanges RYCEF:USA RLLCF.PFD:USA RR N:Mexico RRl:UK RR.:UK RRU:Germany

Address 90 York Way, Kings Place, London, GBR, N1 9FX

Website https://www.rolls-royce.com

Rolls-Royce operates three core business segments: civil aerospace, power systems, and defense. The civil aerospace segment builds engines powering wide-body aircraft, regional and business jets, and offers aftermarket services. Twenty years ago, the firm pioneered full-service flight hour contracts with the TotalCare package. Power systems provides power solutions to multiple end markets (defense, agriculture, marine, and power generation) while the defense business provides military, ground vehicle and naval propulsion solutions.

70GF Score

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$19.25

Price

$8.39

GF Value

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