Inventory Turnover Calculator

Calculate inventory turnover ratio and days. Measure how efficiently your business sells and replaces inventory.

Inventory turnover measures how many times a company sells and replaces its inventory during a period. Higher turnover often indicates efficient inventory management and strong sales.

Calculator

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Inventory Turnover Ratio
0.00x
Days to Sell Inventory
0 days
Average Inventory
$0.00

Common use cases

  • Inventory management optimization
  • Cash flow planning
  • Comparing industry performance
  • Identifying slow-moving stock

How to use

  1. Enter your cost of goods sold for the period
  2. Input beginning inventory value
  3. Input ending inventory value
  4. View turnover ratio and days to sell

FAQ

What's a good inventory turnover?

It varies by industry. Grocery stores may have 12-15x, while furniture stores might be 4-6x. Compare to industry peers.

Is higher turnover always better?

Not always. Very high turnover might mean stockouts and lost sales. Balance is key.

Should I use COGS or sales?

COGS is preferred as it matches the inventory valuation. Using sales inflates the ratio.

This calculator provides illustrative estimates for planning purposes only and does not constitute financial, tax, or legal advice.