Shandong Hualu-hengsheng Chemical Co (SHSE:600426) Inventory Turnover: 4.11 (As of Mar. 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

SHSE:600426 Shandong Hualu-hengsheng Chemical Co Ltd SHSE:600426
95 GF Score
Price ¥20.89
GF Value ¥23.73
Valuation Modestly Undervalued
! 6 Warning Signs
View Full Analysis

What is Shandong Hualu-hengsheng Chemical Co Inventory Turnover?

Shandong Hualu-hengsheng Chemical Co SHSE:600426 -1.65% 95 Inventory Turnover is 4.11 as of Mar. 2026. GuruFocus rates SHSE:600426 with a GF Score™ of 95/100 and a GF Value™ of ¥23.73 (Modestly Undervalued). The stock has 6 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. Shandong Hualu-hengsheng Chemical Co's Cost of Goods Sold for the three months ended in Mar. 2026 was ¥6,485 Mil. Shandong Hualu-hengsheng Chemical Co's Average Total Inventories for the quarter that ended in Mar. 2026 was ¥1,578 Mil. Shandong Hualu-hengsheng Chemical Co's Inventory Turnover for the quarter that ended in Mar. 2026 was 4.11.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Shandong Hualu-hengsheng Chemical Co's Days Inventory for the three months ended in Mar. 2026 was 22.20.

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. Shandong Hualu-hengsheng Chemical Co's Inventory-to-Revenue for the quarter that ended in Mar. 2026 was 0.19.


Shandong Hualu-hengsheng Chemical Co  (SHSE:600426) 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.

Shandong Hualu-hengsheng Chemical Co's Days Inventory for the three months ended in Mar. 2026 is calculated as:

Days Inventory =Average Total Inventories (Q: Mar. 2026 )/Cost of Goods Sold (Q: Mar. 2026 )*Days in Period
=1577.564/6484.621*365 / 4
=22.20

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.

Shandong Hualu-hengsheng Chemical Co's Inventory to Revenue for the quarter that ended in Mar. 2026 is calculated as

Inventory-to-Revenue=Average Total Inventories (Q: Mar. 2026 ) / Revenue (Q: Mar. 2026 )
=1577.564 / 8343.593
=0.19

* 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.


Shandong Hualu-hengsheng Chemical Co Inventory Turnover Related Terms


Shandong Hualu-hengsheng Chemical Co Inventory Turnover Historical Data

* Premium members only.

The historical data trend for Shandong Hualu-hengsheng Chemical Co'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.

Shandong Hualu-hengsheng Chemical Co Inventory Turnover Chart

Shandong Hualu-hengsheng Chemical Co Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Inventory Turnover
Get a 7-Day Free Trial Premium Member Only Premium Member Only 26.33 19.43 16.19 19.79 17.81

Shandong Hualu-hengsheng Chemical Co Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
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 4.56 4.32 4.22 3.83 4.11
SHSE:600426
95GF Score
Shandong Hualu-hengsheng Chemical Co Ltd SHSE:600426
Inventory Turnover is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Shandong Hualu-hengsheng Chemical Co Inventory Turnover Calculation

Shandong Hualu-hengsheng Chemical Co'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 )
=25036.685 / ((1318.826 + 1493.041) / 2 )
=25036.685 / 1405.9335
=17.81

Shandong Hualu-hengsheng Chemical Co's Inventory Turnover for the quarter that ended in Mar. 2026 is calculated as

Inventory Turnover (Q: Mar. 2026 )
=Cost of Goods Sold / Average Total Inventories
=Cost of Goods Sold (Q: Mar. 2026 ) / ((Total Inventories (Q: Dec. 2025 ) + Total Inventories (Q: Mar. 2026 )) / count )
=6484.621 / ((1493.041 + 1662.087) / 2 )
=6484.621 / 1577.564
=4.11

* 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 4.11 mean?
Shandong Hualu-hengsheng Chemical Co (SHSE:600426) has a Inventory Turnover of 4.11 as of Mar. 2026. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Shandong Hualu-hengsheng Chemical Co and its competitors.
Is Shandong Hualu-hengsheng Chemical Co's Inventory Turnover too high?
Shandong Hualu-hengsheng Chemical Co's current Inventory Turnover is 4.11. Overall, Shandong Hualu-hengsheng Chemical Co has a GF Score™ of 95/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Shandong Hualu-hengsheng Chemical Co's Inventory Turnover compare to DOW?
Shandong Hualu-hengsheng Chemical Co's Inventory Turnover of 4.11 can be compared against companies in the Chemicals 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 Chemicals company?
A good Inventory Turnover depends on the Chemicals 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 Shandong Hualu-hengsheng Chemical Co and its competitors. Shandong Hualu-hengsheng Chemical Co's current Inventory Turnover is 4.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shandong Hualu-hengsheng Chemical Co stock overvalued right now?
Based on GuruFocus' analysis, Shandong Hualu-hengsheng Chemical Co (SHSE:600426) is currently considered Modestly Undervalued. The stock's GF Value™ is ¥23.73, compared to a current price of ¥20.89 — trading 12% below its estimated fair value. The current Inventory Turnover is 4.11. Shandong Hualu-hengsheng Chemical Co's overall GF Score™ is 95/100 with 6 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 Shandong Hualu-hengsheng Chemical Co (SHSE:600426), the current Inventory Turnover is 4.11 as of Mar. 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 Shandong Hualu-hengsheng Chemical Co (SHSE:600426) Overvalued in 2026?

Based on GuruFocus' analysis, Shandong Hualu-hengsheng Chemical Co stock appears to be undervalued. The current stock price of ¥20.89 is trading 12% below its estimated GF Value™ of ¥23.73. GuruFocus considers Shandong Hualu-hengsheng Chemical Co to be Modestly Undervalued.

Key valuation signals for SHSE:600426:

  • Inventory Turnover: 4.11
  • GF Value™: ¥23.73 vs. price of ¥20.89 (12% below fair value)
  • GF Score™: 95/100 with 6 warning signs

No single metric tells the full story. See the SHSE:600426 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Shandong Hualu-hengsheng Chemical Co Business Description

Address No. 24, Tianqu West Road, Shandong Province, Dezhou, CHN, 253024
Shandong Hualu-Hengsheng Chemical Co Ltd is engaged in the production and sale of chemical products and chemical fertilizers, as well as power generation and heating businesses. The company's main products include new energy and new materials related products such as caprolactam, adipic acid, and others, chemical fertilizers such as urea and others, organic amines such as dimethylformamide (DMF), monomethylamine, and others, and acetic acid and derivatives products such as acetic acid, acetic anhydride, and others.
95GF Score

Get the complete analysis for SHSE:600426

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

¥20.89
Price
¥23.73
GF Value