Analysis of Short-term (Operating) Activity Ratios
Activity ratios measure how efficiently a company performs day-to-day tasks, such us the collection of receivables and management of inventory.
Short-term Activity Ratios (Summary)
Analog Devices Inc., short-term (operating) activity ratios
Based on: 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03), 10-K (reporting date: 2017-10-28), 10-K (reporting date: 2016-10-29).
| Short-term activity ratio | Description | The company |
|---|---|---|
| Inventory turnover | An activity ratio calculated as cost of goods sold divided by inventory. | Analog Devices Inc. inventory turnover ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
| Receivables turnover | An activity ratio equal to revenue divided by receivables. | Analog Devices Inc. receivables turnover ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
| Payables turnover | An activity ratio calculated as cost of goods sold divided by payables. | Analog Devices Inc. payables turnover ratio decreased from 2019 to 2020 and from 2020 to 2021. |
| Working capital turnover | An activity ratio calculated as revenue divided by working capital. | Analog Devices Inc. working capital turnover ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
| Short-term activity ratio | Description | The company |
|---|---|---|
| Average inventory processing period | An activity ratio equal to the number of days in the period divided by inventory turnover over the period. | Analog Devices Inc. number of days of inventory outstanding deteriorated from 2019 to 2020 and from 2020 to 2021. |
| Average receivable collection period | An activity ratio equal to the number of days in the period divided by receivables turnover. | Analog Devices Inc. number of days of receivables outstanding deteriorated from 2019 to 2020 and from 2020 to 2021. |
| Operating cycle | Equal to average inventory processing period plus average receivables collection period. | Analog Devices Inc. operating cycle deteriorated from 2019 to 2020 and from 2020 to 2021. |
| Average payables payment period | An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period. | Analog Devices Inc. number of days of payables outstanding increased from 2019 to 2020 and from 2020 to 2021. |
| Cash conversion cycle | A financial metric that measures the length of time required for a company to convert cash invested in its operations to cash received as a result of its operations; equal to average inventory processing period plus average receivables collection period minus average payables payment period. | Analog Devices Inc. cash conversion cycle deteriorated from 2019 to 2020 and from 2020 to 2021. |
Inventory Turnover
Analog Devices Inc., inventory turnover calculation, comparison to benchmarks
| Oct 30, 2021 | Oct 31, 2020 | Nov 2, 2019 | Nov 3, 2018 | Oct 28, 2017 | Oct 29, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Cost of sales | 2,793,274 | 1,912,578 | 1,977,315 | 1,967,640 | 2,045,907 | 1,194,236 | |
| Inventories | 1,200,610 | 608,260 | 609,886 | 586,760 | 550,816 | 376,555 | |
| Short-term Activity Ratio | |||||||
| Inventory turnover1 | 2.33 | 3.14 | 3.24 | 3.35 | 3.71 | 3.17 | |
| Benchmarks | |||||||
| Inventory Turnover, Competitors2 | |||||||
| Advanced Micro Devices Inc. | 4.35 | 3.87 | 3.93 | 4.77 | 4.74 | — | |
| Applied Materials Inc. | 2.82 | 2.44 | 2.37 | 2.54 | 2.73 | 3.08 | |
| Broadcom Inc. | 8.18 | 10.34 | 11.57 | 9.00 | 6.31 | 5.21 | |
| First Solar Inc. | 3.29 | 3.58 | 5.67 | 4.77 | 13.88 | — | |
| Intel Corp. | 3.27 | 4.06 | 3.41 | 3.74 | 3.39 | — | |
| KLA Corp. | 1.76 | 1.87 | 1.48 | 1.55 | 1.76 | — | |
| Lam Research Corp. | 2.91 | 2.86 | 3.44 | 3.15 | 3.58 | — | |
| Micron Technology Inc. | 3.85 | 2.65 | 2.48 | 3.48 | 3.81 | 3.42 | |
| NVIDIA Corp. | 3.44 | 4.24 | 2.89 | 4.89 | 3.59 | — | |
| ON Semiconductor Corp. | 2.92 | 2.83 | 2.88 | 2.97 | 3.22 | — | |
| Qualcomm Inc. | 4.42 | 3.56 | 6.14 | 6.05 | 4.81 | 6.27 | |
| Texas Instruments Inc. | 3.12 | 2.66 | 2.61 | 2.48 | 2.73 | — | |
| Inventory Turnover, Sector | |||||||
| Semiconductors & Semiconductor Equipment | 3.48 | 3.44 | 3.36 | 3.72 | 3.69 | — | |
| Inventory Turnover, Industry | |||||||
| Information Technology | 11.22 | 11.88 | 12.01 | 12.36 | 11.81 | — | |
Based on: 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03), 10-K (reporting date: 2017-10-28), 10-K (reporting date: 2016-10-29).
1 2021 Calculation
Inventory turnover = Cost of sales ÷ Inventories
= 2,793,274 ÷ 1,200,610 = 2.33
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Inventory turnover | An activity ratio calculated as cost of goods sold divided by inventory. | Analog Devices Inc. inventory turnover ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
Receivables Turnover
Analog Devices Inc., receivables turnover calculation, comparison to benchmarks
| Oct 30, 2021 | Oct 31, 2020 | Nov 2, 2019 | Nov 3, 2018 | Oct 28, 2017 | Oct 29, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Revenue | 7,318,286 | 5,603,056 | 5,991,065 | 6,200,942 | 5,107,503 | 3,421,409 | |
| Accounts receivable less allowances | 1,459,056 | 737,536 | 635,136 | 639,717 | 688,953 | 477,609 | |
| Short-term Activity Ratio | |||||||
| Receivables turnover1 | 5.02 | 7.60 | 9.43 | 9.69 | 7.41 | 7.16 | |
| Benchmarks | |||||||
| Receivables Turnover, Competitors2 | |||||||
| Advanced Micro Devices Inc. | 6.07 | 4.73 | 3.62 | 5.24 | 13.32 | — | |
| Applied Materials Inc. | 4.66 | 5.81 | 5.77 | 6.73 | 6.22 | 4.75 | |
| Broadcom Inc. | 13.25 | 10.40 | 6.93 | 6.27 | 7.20 | 6.07 | |
| First Solar Inc. | 6.81 | 10.19 | 6.45 | 17.49 | 13.89 | — | |
| Intel Corp. | 8.36 | 11.48 | 9.40 | 10.54 | 11.19 | — | |
| KLA Corp. | 5.30 | 5.24 | 4.61 | 6.19 | 6.09 | — | |
| Lam Research Corp. | 4.83 | 4.79 | 6.63 | 5.09 | 4.79 | — | |
| Micron Technology Inc. | 5.63 | 6.13 | 8.43 | 6.01 | 5.82 | 7.02 | |
| NVIDIA Corp. | 6.86 | 6.59 | 8.23 | 7.68 | 8.37 | — | |
| ON Semiconductor Corp. | 8.33 | 7.77 | 7.83 | 8.57 | 7.90 | — | |
| Qualcomm Inc. | 15.16 | 8.76 | 23.21 | 7.98 | 6.23 | 10.74 | |
| Texas Instruments Inc. | 10.78 | 10.23 | 13.39 | 13.08 | 11.71 | — | |
| Receivables Turnover, Sector | |||||||
| Semiconductors & Semiconductor Equipment | 7.49 | 8.09 | 8.44 | 7.84 | 7.97 | — | |
| Receivables Turnover, Industry | |||||||
| Information Technology | 7.87 | 8.35 | 7.69 | 7.96 | 8.32 | — | |
Based on: 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03), 10-K (reporting date: 2017-10-28), 10-K (reporting date: 2016-10-29).
1 2021 Calculation
Receivables turnover = Revenue ÷ Accounts receivable less allowances
= 7,318,286 ÷ 1,459,056 = 5.02
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Receivables turnover | An activity ratio equal to revenue divided by receivables. | Analog Devices Inc. receivables turnover ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
Payables Turnover
Analog Devices Inc., payables turnover calculation, comparison to benchmarks
| Oct 30, 2021 | Oct 31, 2020 | Nov 2, 2019 | Nov 3, 2018 | Oct 28, 2017 | Oct 29, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Cost of sales | 2,793,274 | 1,912,578 | 1,977,315 | 1,967,640 | 2,045,907 | 1,194,236 | |
| Accounts payable | 443,434 | 227,273 | 225,270 | 260,919 | 236,629 | 171,439 | |
| Short-term Activity Ratio | |||||||
| Payables turnover1 | 6.30 | 8.42 | 8.78 | 7.54 | 8.65 | 6.97 | |
| Benchmarks | |||||||
| Payables Turnover, Competitors2 | |||||||
| Advanced Micro Devices Inc. | 6.44 | 11.57 | 3.91 | 7.63 | 9.13 | — | |
| Applied Materials Inc. | 8.25 | 8.46 | 8.58 | 9.47 | 8.47 | 7.77 | |
| Broadcom Inc. | 9.77 | 12.41 | 11.83 | 12.47 | 8.26 | 5.79 | |
| First Solar Inc. | 11.34 | 11.08 | 11.53 | 7.94 | 19.90 | — | |
| Intel Corp. | 6.13 | 6.14 | 7.23 | 7.09 | 8.09 | — | |
| KLA Corp. | 8.10 | 9.27 | 9.24 | 8.55 | 8.74 | — | |
| Lam Research Corp. | 9.43 | 9.18 | 14.06 | 11.57 | 9.49 | — | |
| Micron Technology Inc. | 9.91 | 6.79 | 7.58 | 7.39 | 8.92 | 8.34 | |
| NVIDIA Corp. | 5.23 | 6.04 | 8.89 | 6.53 | 5.87 | — | |
| ON Semiconductor Corp. | 6.34 | 6.18 | 6.52 | 5.42 | 6.40 | — | |
| Qualcomm Inc. | 5.19 | 4.12 | 6.29 | 5.61 | 4.97 | 5.25 | |
| Texas Instruments Inc. | 9.14 | 12.51 | 13.45 | 11.52 | 11.47 | — | |
| Payables Turnover, Sector | |||||||
| Semiconductors & Semiconductor Equipment | 7.05 | 7.04 | 7.90 | 7.75 | 7.89 | — | |
| Payables Turnover, Industry | |||||||
| Information Technology | 5.47 | 5.81 | 5.50 | 4.92 | 4.98 | — | |
Based on: 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03), 10-K (reporting date: 2017-10-28), 10-K (reporting date: 2016-10-29).
1 2021 Calculation
Payables turnover = Cost of sales ÷ Accounts payable
= 2,793,274 ÷ 443,434 = 6.30
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Payables turnover | An activity ratio calculated as cost of goods sold divided by payables. | Analog Devices Inc. payables turnover ratio decreased from 2019 to 2020 and from 2020 to 2021. |
Working Capital Turnover
Analog Devices Inc., working capital turnover calculation, comparison to benchmarks
| Oct 30, 2021 | Oct 31, 2020 | Nov 2, 2019 | Nov 3, 2018 | Oct 28, 2017 | Oct 29, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in thousands) | |||||||
| Current assets | 5,378,317 | 2,517,688 | 1,985,126 | 2,112,126 | 2,351,338 | 4,974,863 | |
| Less: Current liabilities | 2,770,312 | 1,364,986 | 1,508,632 | 1,406,138 | 1,596,332 | 782,934 | |
| Working capital | 2,608,005 | 1,152,702 | 476,494 | 705,988 | 755,006 | 4,191,929 | |
| Revenue | 7,318,286 | 5,603,056 | 5,991,065 | 6,200,942 | 5,107,503 | 3,421,409 | |
| Short-term Activity Ratio | |||||||
| Working capital turnover1 | 2.81 | 4.86 | 12.57 | 8.78 | 6.76 | 0.82 | |
| Benchmarks | |||||||
| Working Capital Turnover, Competitors2 | |||||||
| Advanced Micro Devices Inc. | 3.78 | 2.62 | 3.01 | 4.16 | 4.69 | — | |
| Applied Materials Inc. | 2.36 | 1.93 | 2.54 | 2.58 | 1.65 | 2.29 | |
| Broadcom Inc. | 2.66 | 4.32 | 7.49 | 3.08 | 1.33 | 3.27 | |
| First Solar Inc. | 1.19 | 1.25 | 1.34 | 0.74 | 0.92 | — | |
| Intel Corp. | 2.61 | 3.46 | 8.06 | 5.83 | 5.20 | — | |
| KLA Corp. | 1.93 | 1.92 | 1.79 | 1.21 | 1.12 | — | |
| Lam Research Corp. | 1.80 | 1.31 | 1.56 | 1.85 | 1.29 | — | |
| Micron Technology Inc. | 2.05 | 1.89 | 2.31 | 2.95 | 2.85 | 2.66 | |
| NVIDIA Corp. | 1.37 | 0.92 | 1.27 | 1.20 | 1.02 | — | |
| ON Semiconductor Corp. | 3.01 | 3.48 | 4.59 | 3.46 | 3.64 | — | |
| Qualcomm Inc. | 4.13 | 2.39 | 3.10 | 3.70 | 0.68 | 1.50 | |
| Texas Instruments Inc. | 1.65 | 1.84 | 2.17 | 2.81 | 2.31 | — | |
| Working Capital Turnover, Sector | |||||||
| Semiconductors & Semiconductor Equipment | 2.37 | 2.35 | 3.29 | 3.10 | 1.84 | — | |
| Working Capital Turnover, Industry | |||||||
| Information Technology | 3.75 | 2.77 | 3.01 | 2.76 | 2.08 | — | |
Based on: 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03), 10-K (reporting date: 2017-10-28), 10-K (reporting date: 2016-10-29).
1 2021 Calculation
Working capital turnover = Revenue ÷ Working capital
= 7,318,286 ÷ 2,608,005 = 2.81
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Working capital turnover | An activity ratio calculated as revenue divided by working capital. | Analog Devices Inc. working capital turnover ratio deteriorated from 2019 to 2020 and from 2020 to 2021. |
Average Inventory Processing Period
Analog Devices Inc., average inventory processing period calculation, comparison to benchmarks
| Oct 30, 2021 | Oct 31, 2020 | Nov 2, 2019 | Nov 3, 2018 | Oct 28, 2017 | Oct 29, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||
| Inventory turnover | 2.33 | 3.14 | 3.24 | 3.35 | 3.71 | 3.17 | |
| Short-term Activity Ratio (no. days) | |||||||
| Average inventory processing period1 | 157 | 116 | 113 | 109 | 98 | 115 | |
| Benchmarks (no. days) | |||||||
| Average Inventory Processing Period, Competitors2 | |||||||
| Advanced Micro Devices Inc. | 84 | 94 | 93 | 77 | 77 | — | |
| Applied Materials Inc. | 129 | 150 | 154 | 144 | 134 | 119 | |
| Broadcom Inc. | 45 | 35 | 32 | 41 | 58 | 70 | |
| First Solar Inc. | 111 | 102 | 64 | 76 | 26 | — | |
| Intel Corp. | 112 | 90 | 107 | 98 | 108 | — | |
| KLA Corp. | 207 | 195 | 247 | 235 | 208 | — | |
| Lam Research Corp. | 126 | 128 | 106 | 116 | 102 | — | |
| Micron Technology Inc. | 95 | 138 | 147 | 105 | 96 | 107 | |
| NVIDIA Corp. | 106 | 86 | 126 | 75 | 102 | — | |
| ON Semiconductor Corp. | 125 | 129 | 127 | 123 | 113 | — | |
| Qualcomm Inc. | 83 | 102 | 59 | 60 | 76 | 58 | |
| Texas Instruments Inc. | 117 | 137 | 140 | 147 | 134 | — | |
| Average Inventory Processing Period, Sector | |||||||
| Semiconductors & Semiconductor Equipment | 105 | 106 | 109 | 98 | 99 | — | |
| Average Inventory Processing Period, Industry | |||||||
| Information Technology | 33 | 31 | 30 | 30 | 31 | — | |
Based on: 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03), 10-K (reporting date: 2017-10-28), 10-K (reporting date: 2016-10-29).
1 2021 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 2.33 = 157
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Average inventory processing period | An activity ratio equal to the number of days in the period divided by inventory turnover over the period. | Analog Devices Inc. number of days of inventory outstanding deteriorated from 2019 to 2020 and from 2020 to 2021. |
Average Receivable Collection Period
Analog Devices Inc., average receivable collection period calculation, comparison to benchmarks
| Oct 30, 2021 | Oct 31, 2020 | Nov 2, 2019 | Nov 3, 2018 | Oct 28, 2017 | Oct 29, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||
| Receivables turnover | 5.02 | 7.60 | 9.43 | 9.69 | 7.41 | 7.16 | |
| Short-term Activity Ratio (no. days) | |||||||
| Average receivable collection period1 | 73 | 48 | 39 | 38 | 49 | 51 | |
| Benchmarks (no. days) | |||||||
| Average Receivable Collection Period, Competitors2 | |||||||
| Advanced Micro Devices Inc. | 60 | 77 | 101 | 70 | 27 | — | |
| Applied Materials Inc. | 78 | 63 | 63 | 54 | 59 | 77 | |
| Broadcom Inc. | 28 | 35 | 53 | 58 | 51 | 60 | |
| First Solar Inc. | 54 | 36 | 57 | 21 | 26 | — | |
| Intel Corp. | 44 | 32 | 39 | 35 | 33 | — | |
| KLA Corp. | 69 | 70 | 79 | 59 | 60 | — | |
| Lam Research Corp. | 76 | 76 | 55 | 72 | 76 | — | |
| Micron Technology Inc. | 65 | 59 | 43 | 61 | 63 | 52 | |
| NVIDIA Corp. | 53 | 55 | 44 | 48 | 44 | — | |
| ON Semiconductor Corp. | 44 | 47 | 47 | 43 | 46 | — | |
| Qualcomm Inc. | 24 | 42 | 16 | 46 | 59 | 34 | |
| Texas Instruments Inc. | 34 | 36 | 27 | 28 | 31 | — | |
| Average Receivable Collection Period, Sector | |||||||
| Semiconductors & Semiconductor Equipment | 49 | 45 | 43 | 47 | 46 | — | |
| Average Receivable Collection Period, Industry | |||||||
| Information Technology | 46 | 44 | 47 | 46 | 44 | — | |
Based on: 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03), 10-K (reporting date: 2017-10-28), 10-K (reporting date: 2016-10-29).
1 2021 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 5.02 = 73
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Average receivable collection period | An activity ratio equal to the number of days in the period divided by receivables turnover. | Analog Devices Inc. number of days of receivables outstanding deteriorated from 2019 to 2020 and from 2020 to 2021. |
Operating Cycle
Analog Devices Inc., operating cycle calculation, comparison to benchmarks
No. days
| Oct 30, 2021 | Oct 31, 2020 | Nov 2, 2019 | Nov 3, 2018 | Oct 28, 2017 | Oct 29, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||
| Average inventory processing period | 157 | 116 | 113 | 109 | 98 | 115 | |
| Average receivable collection period | 73 | 48 | 39 | 38 | 49 | 51 | |
| Short-term Activity Ratio | |||||||
| Operating cycle1 | 230 | 164 | 152 | 147 | 147 | 166 | |
| Benchmarks | |||||||
| Operating Cycle, Competitors2 | |||||||
| Advanced Micro Devices Inc. | 144 | 171 | 194 | 147 | 104 | — | |
| Applied Materials Inc. | 207 | 213 | 217 | 198 | 193 | 196 | |
| Broadcom Inc. | 73 | 70 | 85 | 99 | 109 | 130 | |
| First Solar Inc. | 165 | 138 | 121 | 97 | 52 | — | |
| Intel Corp. | 156 | 122 | 146 | 133 | 141 | — | |
| KLA Corp. | 276 | 265 | 326 | 294 | 268 | — | |
| Lam Research Corp. | 202 | 204 | 161 | 188 | 178 | — | |
| Micron Technology Inc. | 160 | 197 | 190 | 166 | 159 | 159 | |
| NVIDIA Corp. | 159 | 141 | 170 | 123 | 146 | — | |
| ON Semiconductor Corp. | 169 | 176 | 174 | 166 | 159 | — | |
| Qualcomm Inc. | 107 | 144 | 75 | 106 | 135 | 92 | |
| Texas Instruments Inc. | 151 | 173 | 167 | 175 | 165 | — | |
| Operating Cycle, Sector | |||||||
| Semiconductors & Semiconductor Equipment | 154 | 151 | 152 | 145 | 145 | — | |
| Operating Cycle, Industry | |||||||
| Information Technology | 79 | 75 | 77 | 76 | 75 | — | |
Based on: 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03), 10-K (reporting date: 2017-10-28), 10-K (reporting date: 2016-10-29).
1 2021 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 157 + 73 = 230
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Operating cycle | Equal to average inventory processing period plus average receivables collection period. | Analog Devices Inc. operating cycle deteriorated from 2019 to 2020 and from 2020 to 2021. |
Average Payables Payment Period
Analog Devices Inc., average payables payment period calculation, comparison to benchmarks
| Oct 30, 2021 | Oct 31, 2020 | Nov 2, 2019 | Nov 3, 2018 | Oct 28, 2017 | Oct 29, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||
| Payables turnover | 6.30 | 8.42 | 8.78 | 7.54 | 8.65 | 6.97 | |
| Short-term Activity Ratio (no. days) | |||||||
| Average payables payment period1 | 58 | 43 | 42 | 48 | 42 | 52 | |
| Benchmarks (no. days) | |||||||
| Average Payables Payment Period, Competitors2 | |||||||
| Advanced Micro Devices Inc. | 57 | 32 | 93 | 48 | 40 | — | |
| Applied Materials Inc. | 44 | 43 | 43 | 39 | 43 | 47 | |
| Broadcom Inc. | 37 | 29 | 31 | 29 | 44 | 63 | |
| First Solar Inc. | 32 | 33 | 32 | 46 | 18 | — | |
| Intel Corp. | 60 | 59 | 51 | 51 | 45 | — | |
| KLA Corp. | 45 | 39 | 40 | 43 | 42 | — | |
| Lam Research Corp. | 39 | 40 | 26 | 32 | 38 | — | |
| Micron Technology Inc. | 37 | 54 | 48 | 49 | 41 | 44 | |
| NVIDIA Corp. | 70 | 60 | 41 | 56 | 62 | — | |
| ON Semiconductor Corp. | 58 | 59 | 56 | 67 | 57 | — | |
| Qualcomm Inc. | 70 | 89 | 58 | 65 | 73 | 70 | |
| Texas Instruments Inc. | 40 | 29 | 27 | 32 | 32 | — | |
| Average Payables Payment Period, Sector | |||||||
| Semiconductors & Semiconductor Equipment | 52 | 52 | 46 | 47 | 46 | — | |
| Average Payables Payment Period, Industry | |||||||
| Information Technology | 67 | 63 | 66 | 74 | 73 | — | |
Based on: 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03), 10-K (reporting date: 2017-10-28), 10-K (reporting date: 2016-10-29).
1 2021 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 6.30 = 58
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Average payables payment period | An estimate of the average number of days it takes a company to pay its suppliers; equal to the number of days in the period divided by payables turnover ratio for the period. | Analog Devices Inc. number of days of payables outstanding increased from 2019 to 2020 and from 2020 to 2021. |
Cash Conversion Cycle
Analog Devices Inc., cash conversion cycle calculation, comparison to benchmarks
No. days
| Oct 30, 2021 | Oct 31, 2020 | Nov 2, 2019 | Nov 3, 2018 | Oct 28, 2017 | Oct 29, 2016 | ||
|---|---|---|---|---|---|---|---|
| Selected Financial Data | |||||||
| Average inventory processing period | 157 | 116 | 113 | 109 | 98 | 115 | |
| Average receivable collection period | 73 | 48 | 39 | 38 | 49 | 51 | |
| Average payables payment period | 58 | 43 | 42 | 48 | 42 | 52 | |
| Short-term Activity Ratio | |||||||
| Cash conversion cycle1 | 172 | 121 | 110 | 99 | 105 | 114 | |
| Benchmarks | |||||||
| Cash Conversion Cycle, Competitors2 | |||||||
| Advanced Micro Devices Inc. | 87 | 139 | 101 | 99 | 64 | — | |
| Applied Materials Inc. | 163 | 170 | 174 | 159 | 150 | 149 | |
| Broadcom Inc. | 36 | 41 | 54 | 70 | 65 | 67 | |
| First Solar Inc. | 133 | 105 | 89 | 51 | 34 | — | |
| Intel Corp. | 96 | 63 | 95 | 82 | 96 | — | |
| KLA Corp. | 231 | 226 | 286 | 251 | 226 | — | |
| Lam Research Corp. | 163 | 164 | 135 | 156 | 140 | — | |
| Micron Technology Inc. | 123 | 143 | 142 | 117 | 118 | 115 | |
| NVIDIA Corp. | 89 | 81 | 129 | 67 | 84 | — | |
| ON Semiconductor Corp. | 111 | 117 | 118 | 99 | 102 | — | |
| Qualcomm Inc. | 37 | 55 | 17 | 41 | 62 | 22 | |
| Texas Instruments Inc. | 111 | 144 | 140 | 143 | 133 | — | |
| Cash Conversion Cycle, Sector | |||||||
| Semiconductors & Semiconductor Equipment | 102 | 99 | 106 | 98 | 99 | — | |
| Cash Conversion Cycle, Industry | |||||||
| Information Technology | 12 | 12 | 11 | 2 | 2 | — | |
Based on: 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03), 10-K (reporting date: 2017-10-28), 10-K (reporting date: 2016-10-29).
1 2021 Calculation
Cash conversion cycle = Average inventory processing period + Average receivable collection period – Average payables payment period
= 157 + 73 – 58 = 172
2 Click competitor name to see calculations.
| Short-term activity ratio | Description | The company |
|---|---|---|
| Cash conversion cycle | A financial metric that measures the length of time required for a company to convert cash invested in its operations to cash received as a result of its operations; equal to average inventory processing period plus average receivables collection period minus average payables payment period. | Analog Devices Inc. cash conversion cycle deteriorated from 2019 to 2020 and from 2020 to 2021. |