In industries such as retail, success depends on management's ability to make or buy the right amount of inventory and to move that inventory through the distribution system as quickly as possible.

A common way that analysts and investors measure the performance of a company selling goods is by using financial ratios. One ratio that is useful for evaluating a company's effectiveness in utilizing ...

Both internal and external stakeholders in a business closely watch the relationship between sales and inventory levels. The ratio of sales to inventories provides critical clues about whether the ...

Inventory turnover is an indicator of a company’s revenue efficiency. It is the ratio defining how many times the inventory was sold and replaced in a given period of time. The inventory turnover ...

Steven Nickolas is a writer and has 10+ years of experience working as a consultant to retail and institutional investors. Andy Smith is a Certified Financial Planner (CFP®), licensed realtor and ...

The headline number of the inventory to sales ratio reveals general trends, but could hide some valuable information. Investors should always look a little deeper for information that could provide ...

Discover how inventory impacts working capital by examining its role as a current asset in a company's financials and why it ...

Just over a week after Yingli Green Energy issued a SEC filing detailing the extent of its indebtedness, analysis shows the PV manufacturing giant to have a very high 95% liability to asset ratio and ...

For companies that sell a product, inventory is a major consideration. The more inventory you have, the more money that’s tied up in a static product. Until you sell the product, that money isn’t ...