Formosa Petrochemical (TPE:6505) Inventory Turnover: 2.11 (As of Dec. 2025)

What is Formosa Petrochemical Inventory Turnover?

Formosa Petrochemical TPE:6505 88 Inventory Turnover is 2.11 as of Dec. 2025. GuruFocus rates TPE:6505 with a GF Score™ of 88/100 and a GF Value™ of NT$57.79 (Fairly Valued). The stock has 7 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. Formosa Petrochemical's Cost of Goods Sold for the three months ended in Dec. 2025 was NT$135,663 Mil. Formosa Petrochemical's Average Total Inventories for the quarter that ended in Dec. 2025 was NT$64,178 Mil. Formosa Petrochemical's Inventory Turnover for the quarter that ended in Dec. 2025 was 2.11.

Days Inventory indicates the number of days of goods in sales that a company has in the inventory. Formosa Petrochemical's Days Inventory for the three months ended in Dec. 2025 was 43.17.

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. Formosa Petrochemical's Inventory-to-Revenue for the quarter that ended in Dec. 2025 was 0.45.

Formosa Petrochemical (TPE:6505) 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.

Formosa Petrochemical's Days Inventory for the three 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
	=	64178.183	/	135662.694	*	365 / 4
	=	43.17

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.

Formosa Petrochemical'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 )
	=	64178.183	/	143815.065
	=	0.45

* 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.

Formosa Petrochemical Inventory Turnover Related Terms

Formosa Petrochemical Inventory Turnover Historical Data

* Premium members only.

The historical data trend for Formosa Petrochemical's Inventory Turnover can be seen below:

Formosa Petrochemical Inventory Turnover Chart

Formosa Petrochemical Annual Data

Trend

Dec16

Dec17

Dec18

Dec19

Dec20

Dec21

Dec22

Dec23

Dec24

Dec25

Inventory Turnover

Get a 7-Day Free Trial

9.26

10.46

8.41

8.48

8.46

Formosa Petrochemical Quarterly Data
	Mar21	Jun21	Sep21	Dec21	Mar22	Jun22	Sep22	Dec22	Mar23	Jun23	Sep23	Dec23	Mar24	Jun24	Sep24	Dec24	Mar25	Jun25	Sep25	Dec25
Inventory Turnover	Get a 7-Day Free Trial															1.76	2.22	2.19	2.38	2.11

88GF Score

Formosa Petrochemical Corp TPE:6505

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

View Full Analysis

Formosa Petrochemical Inventory Turnover Calculation

Formosa Petrochemical'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 )
=	604090.793	/ (	(77546.46	+	65290.907)	/	2 )
=	604090.793	/	71418.6835
=	8.46

Formosa Petrochemical'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: Sep. 2025 )	+	Total Inventories (Q: Dec. 2025 ))	/	count )
=	135662.694	/ (	(63065.459	+	65290.907)	/	2 )
=	135662.694	/	64178.183
=	2.11

Frequently Asked Questions Learn more about Inventory Turnover →

What does a Inventory Turnover of 2.11 mean?

Formosa Petrochemical (TPE:6505) has a Inventory Turnover of 2.11 as of Dec. 2025. Inventory turnover equals current-period cost of goods sold divided by average two-period total inventories. View historical data on Formosa Petrochemical and its competitors.

Is Formosa Petrochemical's Inventory Turnover too high?

Formosa Petrochemical's current Inventory Turnover is 2.11. Overall, Formosa Petrochemical has a GF Score™ of 88/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.

How does Formosa Petrochemical's Inventory Turnover compare to VLO and MPC?

Formosa Petrochemical's Inventory Turnover of 2.11 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 Formosa Petrochemical and its competitors. Formosa Petrochemical's current Inventory Turnover is 2.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.

Is Formosa Petrochemical stock overvalued right now?

Based on GuruFocus' analysis, Formosa Petrochemical (TPE:6505) is currently considered Fairly Valued. The stock's GF Value™ is NT$57.79, compared to a current price of NT$58.80 — trading 1.7% above its estimated fair value. The current Inventory Turnover is 2.11. Formosa Petrochemical's overall GF Score™ is 88/100 with 7 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 Formosa Petrochemical (TPE:6505), the current Inventory Turnover is 2.11 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 Formosa Petrochemical (TPE:6505) Overvalued in 2026?

Based on GuruFocus' analysis, Formosa Petrochemical stock appears to be overvalued. The current stock price of NT$58.80 is trading 1.7% above its estimated GF Value™ of NT$57.79. GuruFocus considers Formosa Petrochemical to be Fairly Valued.

Key valuation signals for TPE:6505:

Inventory Turnover: 2.11
GF Value™: NT$57.79 vs. price of NT$58.80 (1.7% above fair value)
GF Score™: 88/100 with 7 warning signs

No single metric tells the full story. See the TPE:6505 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Formosa Petrochemical Business Description

Industry Energy Oil & Gas

Comparable Companies TPE:2904 NSE:RELIANCE VLO MPC PSX XKAZ:KMGZ OHEL:NESTE NSE:IOC TSE:5020 BOM:500547 SUN DINO XKRX:096770 BUD:MOL TSE:5019 IST:TUPRS NSE:HINDPETRO XKRX:267250 LSE:DCC XSGO:QUINENCO

Address No. 1-1, Formosa Plastics Industrial Park, Zhongxing Village, Mailiao Township, Yunlin County, Taipei, TWN, 638

Website https://www.fpcc.com.tw

Formosa Petrochemical Corp engages in the Operation of refinery of petroleum and integrated manufacture of hydrocarbon. The firm operates in two segments. The Petrochemical segment that derives majority revenue engages in producing and selling petroleum, and petrochemical products. The Public utility segment engages in producing and selling water, electricity, and steam. Its product offerings comprise gasoline, jet fuel, kerosene, fuel oil, asphalt, sulfur, lubricant, diesel, naphtha, and liquid petroleum gas.

88GF Score

Get the complete analysis for TPE:6505

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

NT$58.80

Price

NT$57.79

GF Value

View TPE:6505 Analysis

See Inventory Turnover data for all stocks →