Inventory Turnover Calculator
How many times does your stock turn per year, and how many days do you hold? Free up cash.
CurrentTarget
Inventory turnover
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Sector target: 8
Days of inventory
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Higher turns = less tied-up cash. Target is sector-dependent.
Values are calculated only in your browser; no data is stored.
About this metric
What is it?
How many times stock turns per year and how many days you hold — a sign of cash and flow health.
How is it calculated?
Turnover = COGS / average inventory value; days of inventory = 365 / turnover.
How to interpret it?
Higher turnover means less tied-up cash; the target is sector-dependent, and too-low stock is also a risk.
How to improve it?
Reduce stock with pull (kanban), smaller batches, shorter lead times and ABC analysis.
Let's improve these numbers on the field
Measuring is the first step; lasting gains come from implementing together on the field.
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