Costco Wholesale Corp. (COST)
Analysis of Short-term (Operating) Activity Ratios
Quarterly Data
Beginner level
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)
Costco Wholesale Corp., short-term (operating) activity ratios (quarterly data)
Based on: 10-Q (filing date: 2019-12-23), 10-K (filing date: 2019-10-11), 10-Q (filing date: 2019-06-06), 10-Q (filing date: 2019-03-13), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-26), 10-Q (filing date: 2018-06-07), 10-Q (filing date: 2018-03-15), 10-Q (filing date: 2017-12-21), 10-K (filing date: 2017-10-18), 10-Q (filing date: 2017-06-01), 10-Q (filing date: 2017-03-09), 10-Q (filing date: 2016-12-16), 10-K (filing date: 2016-10-12), 10-Q (filing date: 2016-06-01), 10-Q (filing date: 2016-03-09), 10-Q (filing date: 2015-12-18), 10-K (filing date: 2015-10-14), 10-Q (filing date: 2015-06-04), 10-Q (filing date: 2015-03-11), 10-Q (filing date: 2014-12-18), 10-K (filing date: 2014-10-15), 10-Q (filing date: 2014-06-05), 10-Q (filing date: 2014-03-14), 10-Q (filing date: 2013-12-20).
| Short-term activity ratio | Description | The company |
|---|---|---|
| Inventory turnover | An activity ratio calculated as cost of goods sold divided by inventory. | Costco Wholesale Corp.’s inventory turnover ratio improved from Q3 2019 to Q4 2019 but then deteriorated significantly from Q4 2019 to Q1 2020. |
| Receivables turnover | An activity ratio equal to revenue divided by receivables. | Costco Wholesale Corp.’s receivables turnover ratio improved from Q3 2019 to Q4 2019 but then slightly deteriorated from Q4 2019 to Q1 2020 not reaching Q3 2019 level. |
| Payables turnover | An activity ratio calculated as cost of goods sold divided by payables. | Costco Wholesale Corp.’s payables turnover ratio decreased from Q3 2019 to Q4 2019 and from Q4 2019 to Q1 2020. |
| Working capital turnover | An activity ratio calculated as revenue divided by working capital. | Costco Wholesale Corp.’s working capital turnover ratio improved from Q3 2019 to Q4 2019 but then slightly deteriorated from Q4 2019 to Q1 2020. |
| 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. | Costco Wholesale Corp.’s number of days of inventory outstanding improved from Q3 2019 to Q4 2019 but then deteriorated significantly from Q4 2019 to Q1 2020. |
| Average receivable collection period | An activity ratio equal to the number of days in the period divided by receivables turnover. | |
| Operating cycle | Equal to average inventory processing period plus average receivables collection period. | Costco Wholesale Corp.’s operating cycle improved from Q3 2019 to Q4 2019 but then deteriorated significantly from Q4 2019 to Q1 2020. |
| 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. | |
| 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. | Costco Wholesale Corp.’s cash conversion cycle improved from Q3 2019 to Q4 2019 and from Q4 2019 to Q1 2020. |
Inventory Turnover
Costco Wholesale Corp., inventory turnover calculation (quarterly data)
| Nov 24, 2019 | Sep 1, 2019 | May 12, 2019 | Feb 17, 2019 | Nov 25, 2018 | Sep 2, 2018 | May 13, 2018 | Feb 18, 2018 | Nov 26, 2017 | Sep 3, 2017 | May 7, 2017 | Feb 12, 2017 | Nov 20, 2016 | Aug 28, 2016 | May 8, 2016 | Feb 14, 2016 | Nov 22, 2015 | Aug 30, 2015 | May 10, 2015 | Feb 15, 2015 | Nov 23, 2014 | Aug 31, 2014 | May 11, 2014 | Feb 16, 2014 | Nov 24, 2013 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||
| Merchandise costs | 32,233 | 41,310 | 30,233 | 30,720 | 30,623 | 38,671 | 28,131 | 28,733 | 27,617 | 36,697 | 24,970 | 25,927 | 24,288 | 31,649 | 23,162 | 24,469 | 23,621 | 31,096 | 22,687 | 23,897 | 23,385 | 31,037 | 22,554 | 23,043 | 21,824 | |
| Merchandise inventories | 13,818 | 11,395 | 11,304 | 11,356 | 12,205 | 11,040 | 10,626 | 10,671 | 11,213 | 9,834 | 9,736 | 9,530 | 10,721 | 8,969 | 8,927 | 8,908 | 10,382 | 8,908 | 8,869 | 8,558 | 9,644 | 8,456 | 8,483 | 8,267 | 9,337 | |
| Short-term Activity Ratio | ||||||||||||||||||||||||||
| Inventory turnover1 | 9.73 | 11.66 | 11.52 | 11.28 | 10.34 | 11.16 | 11.40 | 11.06 | 10.27 | 11.38 | 10.97 | 11.02 | 9.66 | 11.47 | 11.46 | 11.44 | 9.76 | 11.35 | 11.39 | 11.79 | 10.37 | 11.64 | — | — | — | |
| Benchmarks | ||||||||||||||||||||||||||
| Inventory Turnover, Competitors2 | ||||||||||||||||||||||||||
| Amazon.com Inc. | — | — | 8.33 | 7.97 | 8.66 | 8.10 | 8.38 | 8.59 | 8.69 | 6.98 | 7.47 | 8.35 | 8.66 | 7.70 | 7.82 | 8.25 | 7.84 | 7.00 | 7.57 | 8.82 | 8.70 | 7.56 | — | — | — | |
| Home Depot Inc. | 4.65 | 5.10 | 4.70 | 4.88 | 4.65 | 5.22 | 4.87 | 4.98 | 4.63 | 4.96 | 4.64 | 4.92 | 4.50 | 4.93 | 4.55 | 4.72 | 4.48 | 4.89 | 4.44 | 4.51 | 4.20 | 4.65 | — | — | — | |
| Lowe’s Cos. Inc. | 3.26 | 3.85 | 3.88 | 3.95 | 3.47 | 3.97 | 3.65 | 3.91 | 3.57 | 4.07 | 3.72 | 3.76 | 3.55 | 4.07 | 3.65 | 3.88 | 3.50 | 4.11 | 3.70 | 3.82 | 3.33 | 3.83 | — | — | — | |
| Target Corp. | 5.95 | 5.61 | 4.30 | 5.75 | 5.97 | 5.91 | 4.66 | 5.95 | 6.11 | 5.88 | 4.91 | 5.83 | 6.06 | 6.05 | 5.01 | 6.25 | 5.97 | 5.83 | 5.17 | 6.48 | 6.50 | 5.84 | — | — | — | |
| TJX Cos. Inc. | 5.59 | 6.08 | 4.99 | 5.96 | 5.98 | 6.09 | 5.17 | 6.24 | 6.35 | 6.47 | 5.28 | 5.90 | 5.76 | 5.96 | 4.86 | 5.68 | 5.95 | 6.46 | 5.17 | 5.96 | 6.19 | 6.61 | — | — | — | |
| Walmart Inc. | 8.64 | 8.70 | 7.60 | 9.09 | 8.72 | 8.53 | 7.35 | 8.39 | 8.36 | 8.39 | 7.24 | 8.30 | 8.11 | 8.12 | 7.16 | 8.11 | 7.88 | 8.09 | 7.07 | 7.95 | 7.92 | 7.98 | — | — | — | |
Based on: 10-Q (filing date: 2019-12-23), 10-K (filing date: 2019-10-11), 10-Q (filing date: 2019-06-06), 10-Q (filing date: 2019-03-13), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-26), 10-Q (filing date: 2018-06-07), 10-Q (filing date: 2018-03-15), 10-Q (filing date: 2017-12-21), 10-K (filing date: 2017-10-18), 10-Q (filing date: 2017-06-01), 10-Q (filing date: 2017-03-09), 10-Q (filing date: 2016-12-16), 10-K (filing date: 2016-10-12), 10-Q (filing date: 2016-06-01), 10-Q (filing date: 2016-03-09), 10-Q (filing date: 2015-12-18), 10-K (filing date: 2015-10-14), 10-Q (filing date: 2015-06-04), 10-Q (filing date: 2015-03-11), 10-Q (filing date: 2014-12-18), 10-K (filing date: 2014-10-15), 10-Q (filing date: 2014-06-05), 10-Q (filing date: 2014-03-14), 10-Q (filing date: 2013-12-20).
1 Q1 2020 Calculation
Inventory turnover
= (Merchandise costsQ1 2020
+ Merchandise costsQ4 2019
+ Merchandise costsQ3 2019
+ Merchandise costsQ2 2019)
÷ Merchandise inventories
= (32,233 + 41,310 + 30,233 + 30,720)
÷ 13,818 = 9.73
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. | Costco Wholesale Corp.’s inventory turnover ratio improved from Q3 2019 to Q4 2019 but then deteriorated significantly from Q4 2019 to Q1 2020. |
Receivables Turnover
Costco Wholesale Corp., receivables turnover calculation (quarterly data)
| Nov 24, 2019 | Sep 1, 2019 | May 12, 2019 | Feb 17, 2019 | Nov 25, 2018 | Sep 2, 2018 | May 13, 2018 | Feb 18, 2018 | Nov 26, 2017 | Sep 3, 2017 | May 7, 2017 | Feb 12, 2017 | Nov 20, 2016 | Aug 28, 2016 | May 8, 2016 | Feb 14, 2016 | Nov 22, 2015 | Aug 30, 2015 | May 10, 2015 | Feb 15, 2015 | Nov 23, 2014 | Aug 31, 2014 | May 11, 2014 | Feb 16, 2014 | Nov 24, 2013 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||
| Net sales | 36,236 | 46,448 | 33,964 | 34,628 | 34,311 | 43,414 | 31,624 | 32,279 | 31,117 | 41,357 | 28,216 | 29,130 | 27,469 | 35,728 | 26,151 | 27,567 | 26,627 | 34,993 | 25,517 | 26,872 | 26,284 | 34,755 | 25,233 | 25,756 | 24,468 | |
| Receivables, net | 1,711 | 1,535 | 1,704 | 1,995 | 1,795 | 1,669 | 1,593 | 2,001 | 1,559 | 1,432 | 1,462 | 1,597 | 1,498 | 1,252 | 1,300 | 1,453 | 1,359 | 1,224 | 1,195 | 1,287 | 1,248 | 1,148 | 1,115 | 1,244 | 1,145 | |
| Short-term Activity Ratio | ||||||||||||||||||||||||||
| Receivables turnover1 | 88.41 | 97.30 | 85.87 | 72.17 | 78.90 | 82.94 | 85.61 | 66.45 | 83.27 | 88.11 | 82.45 | 74.19 | 78.05 | 92.71 | 88.72 | 78.94 | 83.89 | 92.86 | 94.92 | 87.91 | 89.77 | 96.00 | — | — | — | |
| Benchmarks | ||||||||||||||||||||||||||
| Receivables Turnover, Competitors2 | ||||||||||||||||||||||||||
| Home Depot Inc. | 47.32 | 55.89 | 48.64 | 48.21 | 44.41 | 51.69 | 45.81 | 44.52 | 44.23 | 46.62 | 46.80 | 46.13 | 45.44 | 46.84 | 44.65 | 50.35 | 45.88 | 56.05 | 50.72 | 49.28 | 43.35 | 56.37 | — | — | — | |
| Netflix Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |
| TJX Cos. Inc. | 100.60 | 112.54 | 92.44 | 105.97 | 99.83 | 109.62 | 99.38 | 111.01 | 105.37 | 128.21 | 106.64 | 111.30 | 112.28 | 129.98 | 110.59 | 114.58 | 111.79 | 135.99 | 109.54 | 116.26 | 108.39 | 130.53 | — | — | — | |
| Walmart Inc. | 95.78 | 81.22 | 87.77 | 101.15 | 109.65 | 88.31 | 83.61 | 89.97 | 91.94 | 82.49 | 89.87 | 90.93 | 92.46 | 85.10 | 95.89 | 91.39 | 82.93 | 71.15 | 78.86 | 77.64 | 77.74 | 70.85 | — | — | — | |
Based on: 10-Q (filing date: 2019-12-23), 10-K (filing date: 2019-10-11), 10-Q (filing date: 2019-06-06), 10-Q (filing date: 2019-03-13), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-26), 10-Q (filing date: 2018-06-07), 10-Q (filing date: 2018-03-15), 10-Q (filing date: 2017-12-21), 10-K (filing date: 2017-10-18), 10-Q (filing date: 2017-06-01), 10-Q (filing date: 2017-03-09), 10-Q (filing date: 2016-12-16), 10-K (filing date: 2016-10-12), 10-Q (filing date: 2016-06-01), 10-Q (filing date: 2016-03-09), 10-Q (filing date: 2015-12-18), 10-K (filing date: 2015-10-14), 10-Q (filing date: 2015-06-04), 10-Q (filing date: 2015-03-11), 10-Q (filing date: 2014-12-18), 10-K (filing date: 2014-10-15), 10-Q (filing date: 2014-06-05), 10-Q (filing date: 2014-03-14), 10-Q (filing date: 2013-12-20).
1 Q1 2020 Calculation
Receivables turnover
= (Net salesQ1 2020
+ Net salesQ4 2019
+ Net salesQ3 2019
+ Net salesQ2 2019)
÷ Receivables, net
= (36,236 + 46,448 + 33,964 + 34,628)
÷ 1,711 = 88.41
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. | Costco Wholesale Corp.’s receivables turnover ratio improved from Q3 2019 to Q4 2019 but then slightly deteriorated from Q4 2019 to Q1 2020 not reaching Q3 2019 level. |
Payables Turnover
Costco Wholesale Corp., payables turnover calculation (quarterly data)
| Nov 24, 2019 | Sep 1, 2019 | May 12, 2019 | Feb 17, 2019 | Nov 25, 2018 | Sep 2, 2018 | May 13, 2018 | Feb 18, 2018 | Nov 26, 2017 | Sep 3, 2017 | May 7, 2017 | Feb 12, 2017 | Nov 20, 2016 | Aug 28, 2016 | May 8, 2016 | Feb 14, 2016 | Nov 22, 2015 | Aug 30, 2015 | May 10, 2015 | Feb 15, 2015 | Nov 23, 2014 | Aug 31, 2014 | May 11, 2014 | Feb 16, 2014 | Nov 24, 2013 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||
| Merchandise costs | 32,233 | 41,310 | 30,233 | 30,720 | 30,623 | 38,671 | 28,131 | 28,733 | 27,617 | 36,697 | 24,970 | 25,927 | 24,288 | 31,649 | 23,162 | 24,469 | 23,621 | 31,096 | 22,687 | 23,897 | 23,385 | 31,037 | 22,554 | 23,043 | 21,824 | |
| Accounts payable | 14,440 | 11,679 | 11,331 | 10,711 | 13,133 | 11,237 | 10,705 | 10,061 | 11,992 | 9,608 | 9,425 | 8,764 | 11,003 | 7,612 | 8,828 | 8,222 | 10,378 | 9,011 | 8,895 | 8,302 | 9,783 | 8,491 | 8,361 | 7,707 | 9,199 | |
| Short-term Activity Ratio | ||||||||||||||||||||||||||
| Payables turnover1 | 9.31 | 11.38 | 11.49 | 11.96 | 9.61 | 10.96 | 11.32 | 11.73 | 9.61 | 11.64 | 11.34 | 11.98 | 9.41 | 13.52 | 11.59 | 12.39 | 9.76 | 11.22 | 11.36 | 12.15 | 10.22 | 11.60 | — | — | — | |
| Benchmarks | ||||||||||||||||||||||||||
| Payables Turnover, Competitors2 | ||||||||||||||||||||||||||
| Amazon.com Inc. | — | — | 4.37 | 4.11 | 4.47 | 3.64 | 4.30 | 4.61 | 4.78 | 3.23 | 3.93 | 4.48 | 4.86 | 3.49 | 4.45 | 4.91 | 5.01 | 3.51 | 4.71 | 5.31 | 5.38 | 3.81 | — | — | — | |
| Home Depot Inc. | 6.99 | 9.16 | 7.66 | 7.29 | 6.90 | 9.19 | 7.63 | 7.51 | 6.90 | 8.90 | 7.63 | 7.32 | 6.83 | 8.87 | 7.86 | 7.46 | 6.83 | 9.34 | 7.73 | 7.35 | 6.69 | 8.87 | — | — | — | |
| Lowe’s Cos. Inc. | 4.26 | 5.85 | 5.16 | 5.22 | 4.53 | 6.86 | 5.09 | 5.15 | 4.41 | 6.40 | 5.21 | 5.18 | 4.45 | 6.84 | 5.18 | 5.28 | 4.63 | 7.16 | 5.59 | 5.75 | 4.97 | 6.98 | — | — | — | |
| Netflix Inc. | — | — | 26.36 | 25.19 | 23.98 | 17.70 | 21.16 | 19.64 | 19.04 | 21.30 | 23.91 | 24.68 | 21.43 | 19.27 | 19.68 | 21.90 | 21.19 | 18.11 | 20.81 | 19.54 | 20.62 | 18.62 | — | — | — | |
| Target Corp. | 6.45 | 5.46 | 4.45 | 5.75 | 6.35 | 5.89 | 4.94 | 6.48 | 7.47 | 6.74 | 5.98 | 7.39 | 8.02 | 7.01 | 5.84 | 7.44 | 7.57 | 6.61 | 5.82 | 7.36 | 7.88 | 6.66 | — | — | — | |
| TJX Cos. Inc. | 10.97 | 10.53 | 8.28 | 9.99 | 10.42 | 10.25 | 8.18 | 10.28 | 10.91 | 10.56 | 8.62 | 10.11 | 10.52 | 10.00 | 8.01 | 9.43 | 9.76 | 10.35 | 8.01 | 9.40 | 10.15 | 11.07 | — | — | — | |
| Walmart Inc. | 8.57 | 8.19 | 7.70 | 8.84 | 8.46 | 8.10 | 7.74 | 8.60 | 8.76 | 8.72 | 8.39 | 9.03 | 9.50 | 9.38 | 8.95 | 9.80 | 9.80 | 9.50 | 9.18 | 9.81 | 9.87 | 9.57 | — | — | — | |
Based on: 10-Q (filing date: 2019-12-23), 10-K (filing date: 2019-10-11), 10-Q (filing date: 2019-06-06), 10-Q (filing date: 2019-03-13), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-26), 10-Q (filing date: 2018-06-07), 10-Q (filing date: 2018-03-15), 10-Q (filing date: 2017-12-21), 10-K (filing date: 2017-10-18), 10-Q (filing date: 2017-06-01), 10-Q (filing date: 2017-03-09), 10-Q (filing date: 2016-12-16), 10-K (filing date: 2016-10-12), 10-Q (filing date: 2016-06-01), 10-Q (filing date: 2016-03-09), 10-Q (filing date: 2015-12-18), 10-K (filing date: 2015-10-14), 10-Q (filing date: 2015-06-04), 10-Q (filing date: 2015-03-11), 10-Q (filing date: 2014-12-18), 10-K (filing date: 2014-10-15), 10-Q (filing date: 2014-06-05), 10-Q (filing date: 2014-03-14), 10-Q (filing date: 2013-12-20).
1 Q1 2020 Calculation
Payables turnover
= (Merchandise costsQ1 2020
+ Merchandise costsQ4 2019
+ Merchandise costsQ3 2019
+ Merchandise costsQ2 2019)
÷ Accounts payable
= (32,233 + 41,310 + 30,233 + 30,720)
÷ 14,440 = 9.31
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. | Costco Wholesale Corp.’s payables turnover ratio decreased from Q3 2019 to Q4 2019 and from Q4 2019 to Q1 2020. |
Working Capital Turnover
Costco Wholesale Corp., working capital turnover calculation (quarterly data)
| Nov 24, 2019 | Sep 1, 2019 | May 12, 2019 | Feb 17, 2019 | Nov 25, 2018 | Sep 2, 2018 | May 13, 2018 | Feb 18, 2018 | Nov 26, 2017 | Sep 3, 2017 | May 7, 2017 | Feb 12, 2017 | Nov 20, 2016 | Aug 28, 2016 | May 8, 2016 | Feb 14, 2016 | Nov 22, 2015 | Aug 30, 2015 | May 10, 2015 | Feb 15, 2015 | Nov 23, 2014 | Aug 31, 2014 | May 11, 2014 | Feb 16, 2014 | Nov 24, 2013 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data (US$ in millions) | ||||||||||||||||||||||||||
| Current assets | 26,643 | 23,485 | 22,285 | 21,648 | 22,954 | 20,289 | 19,693 | 18,899 | 19,897 | 17,317 | 17,256 | 17,460 | 18,570 | 15,218 | 16,542 | 15,529 | 18,858 | 17,299 | 17,634 | 18,058 | 19,156 | 17,588 | 17,533 | 16,634 | 17,473 | |
| Less: Current liabilities | 26,265 | 23,237 | 22,832 | 22,450 | 22,473 | 19,926 | 19,411 | 18,913 | 20,360 | 17,495 | 21,394 | 18,860 | 19,161 | 15,575 | 16,999 | 15,433 | 18,293 | 16,540 | 16,736 | 18,249 | 16,019 | 14,412 | 14,687 | 13,884 | 14,933 | |
| Working capital | 378 | 248 | (547) | (802) | 481 | 363 | 282 | (14) | (463) | (178) | (4,138) | (1,400) | (591) | (357) | (457) | 96 | 565 | 759 | 898 | (191) | 3,137 | 3,176 | 2,846 | 2,750 | 2,540 | |
| Net sales | 36,236 | 46,448 | 33,964 | 34,628 | 34,311 | 43,414 | 31,624 | 32,279 | 31,117 | 41,357 | 28,216 | 29,130 | 27,469 | 35,728 | 26,151 | 27,567 | 26,627 | 34,993 | 25,517 | 26,872 | 26,284 | 34,755 | 25,233 | 25,756 | 24,468 | |
| Short-term Activity Ratio | ||||||||||||||||||||||||||
| Working capital turnover1 | 400.20 | 602.22 | — | — | 294.44 | 381.36 | 483.61 | — | — | — | — | — | — | — | — | 1,194.83 | 201.79 | 149.76 | 126.31 | — | 35.71 | 34.70 | — | — | — | |
| Benchmarks | ||||||||||||||||||||||||||
| Working Capital Turnover, Competitors2 | ||||||||||||||||||||||||||
| Amazon.com Inc. | — | — | 38.37 | 35.44 | 42.11 | 34.71 | 48.44 | 56.56 | 69.39 | 76.87 | 107.01 | 308.26 | 69.18 | 69.20 | 60.63 | 45.82 | 48.76 | 41.56 | 45.89 | 38.65 | 33.50 | 27.48 | — | — | — | |
| Home Depot Inc. | 124.59 | 59.68 | 65.46 | 43.91 | 33.09 | 36.84 | 26.96 | 20.77 | 27.68 | 26.34 | 18.99 | 20.84 | 23.41 | 19.82 | 32.97 | 27.27 | 85.23 | 20.62 | 18.20 | 14.27 | 18.68 | 17.40 | — | — | — | |
| Lowe’s Cos. Inc. | 46.13 | — | 1,031.26 | 78.17 | 266.87 | 101.51 | 254.28 | 166.37 | 112.95 | 2,500.65 | 657.58 | 363.64 | 25.59 | 856.14 | 250.55 | — | — | 76.81 | 41.74 | 51.43 | 47.22 | 37.62 | — | — | — | |
| Netflix Inc. | — | — | — | — | — | 4.93 | 6.12 | 4.25 | 7.04 | 5.31 | 10.13 | 6.46 | 12.69 | 7.79 | 10.45 | 5.71 | 4.45 | 3.56 | 2.89 | 2.57 | 2.30 | 4.31 | — | — | — | |
| Target Corp. | — | — | — | — | — | — | — | — | — | — | 352.16 | 143.21 | 37.77 | 48.93 | 54.91 | 42.15 | 28.66 | 30.89 | 231.26 | 332.05 | — | — | — | — | — | |
| TJX Cos. Inc. | 26.62 | 13.27 | 11.75 | 11.43 | 10.67 | 10.67 | 11.76 | 11.64 | 11.36 | 11.09 | 10.72 | 12.87 | 12.25 | 13.06 | 11.57 | 11.34 | 10.77 | 10.44 | 10.34 | 10.18 | 10.96 | 10.75 | — | — | — | |
| Walmart Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |
Based on: 10-Q (filing date: 2019-12-23), 10-K (filing date: 2019-10-11), 10-Q (filing date: 2019-06-06), 10-Q (filing date: 2019-03-13), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-26), 10-Q (filing date: 2018-06-07), 10-Q (filing date: 2018-03-15), 10-Q (filing date: 2017-12-21), 10-K (filing date: 2017-10-18), 10-Q (filing date: 2017-06-01), 10-Q (filing date: 2017-03-09), 10-Q (filing date: 2016-12-16), 10-K (filing date: 2016-10-12), 10-Q (filing date: 2016-06-01), 10-Q (filing date: 2016-03-09), 10-Q (filing date: 2015-12-18), 10-K (filing date: 2015-10-14), 10-Q (filing date: 2015-06-04), 10-Q (filing date: 2015-03-11), 10-Q (filing date: 2014-12-18), 10-K (filing date: 2014-10-15), 10-Q (filing date: 2014-06-05), 10-Q (filing date: 2014-03-14), 10-Q (filing date: 2013-12-20).
1 Q1 2020 Calculation
Working capital turnover
= (Net salesQ1 2020
+ Net salesQ4 2019
+ Net salesQ3 2019
+ Net salesQ2 2019)
÷ Working capital
= (36,236 + 46,448 + 33,964 + 34,628)
÷ 378 = 400.20
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. | Costco Wholesale Corp.’s working capital turnover ratio improved from Q3 2019 to Q4 2019 but then slightly deteriorated from Q4 2019 to Q1 2020. |
Average Inventory Processing Period
Costco Wholesale Corp., average inventory processing period calculation (quarterly data)
| Nov 24, 2019 | Sep 1, 2019 | May 12, 2019 | Feb 17, 2019 | Nov 25, 2018 | Sep 2, 2018 | May 13, 2018 | Feb 18, 2018 | Nov 26, 2017 | Sep 3, 2017 | May 7, 2017 | Feb 12, 2017 | Nov 20, 2016 | Aug 28, 2016 | May 8, 2016 | Feb 14, 2016 | Nov 22, 2015 | Aug 30, 2015 | May 10, 2015 | Feb 15, 2015 | Nov 23, 2014 | Aug 31, 2014 | May 11, 2014 | Feb 16, 2014 | Nov 24, 2013 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||||||||||||||||||||||
| Inventory turnover | 9.73 | 11.66 | 11.52 | 11.28 | 10.34 | 11.16 | 11.40 | 11.06 | 10.27 | 11.38 | 10.97 | 11.02 | 9.66 | 11.47 | 11.46 | 11.44 | 9.76 | 11.35 | 11.39 | 11.79 | 10.37 | 11.64 | — | — | — | |
| Short-term Activity Ratio (no. days) | ||||||||||||||||||||||||||
| Average inventory processing period1 | 37 | 31 | 32 | 32 | 35 | 33 | 32 | 33 | 36 | 32 | 33 | 33 | 38 | 32 | 32 | 32 | 37 | 32 | 32 | 31 | 35 | 31 | — | — | — | |
| Benchmarks (no. days) | ||||||||||||||||||||||||||
| Average Inventory Processing Period, Competitors2 | ||||||||||||||||||||||||||
| Amazon.com Inc. | — | — | 44 | 46 | 42 | 45 | 44 | 42 | 42 | 52 | 49 | 44 | 42 | 47 | 47 | 44 | 47 | 52 | 48 | 41 | 42 | 48 | — | — | — | |
| Home Depot Inc. | 78 | 72 | 78 | 75 | 78 | 70 | 75 | 73 | 79 | 74 | 79 | 74 | 81 | 74 | 80 | 77 | 81 | 75 | 82 | 81 | 87 | 78 | — | — | — | |
| Lowe’s Cos. Inc. | 112 | 95 | 94 | 92 | 105 | 92 | 100 | 93 | 102 | 90 | 98 | 97 | 103 | 90 | 100 | 94 | 104 | 89 | 99 | 95 | 109 | 95 | — | — | — | |
| Target Corp. | 61 | 65 | 85 | 63 | 61 | 62 | 78 | 61 | 60 | 62 | 74 | 63 | 60 | 60 | 73 | 58 | 61 | 63 | 71 | 56 | 56 | 63 | — | — | — | |
| TJX Cos. Inc. | 65 | 60 | 73 | 61 | 61 | 60 | 71 | 58 | 57 | 56 | 69 | 62 | 63 | 61 | 75 | 64 | 61 | 57 | 71 | 61 | 59 | 55 | — | — | — | |
| Walmart Inc. | 42 | 42 | 48 | 40 | 42 | 43 | 50 | 44 | 44 | 43 | 50 | 44 | 45 | 45 | 51 | 45 | 46 | 45 | 52 | 46 | 46 | 46 | — | — | — | |
Based on: 10-Q (filing date: 2019-12-23), 10-K (filing date: 2019-10-11), 10-Q (filing date: 2019-06-06), 10-Q (filing date: 2019-03-13), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-26), 10-Q (filing date: 2018-06-07), 10-Q (filing date: 2018-03-15), 10-Q (filing date: 2017-12-21), 10-K (filing date: 2017-10-18), 10-Q (filing date: 2017-06-01), 10-Q (filing date: 2017-03-09), 10-Q (filing date: 2016-12-16), 10-K (filing date: 2016-10-12), 10-Q (filing date: 2016-06-01), 10-Q (filing date: 2016-03-09), 10-Q (filing date: 2015-12-18), 10-K (filing date: 2015-10-14), 10-Q (filing date: 2015-06-04), 10-Q (filing date: 2015-03-11), 10-Q (filing date: 2014-12-18), 10-K (filing date: 2014-10-15), 10-Q (filing date: 2014-06-05), 10-Q (filing date: 2014-03-14), 10-Q (filing date: 2013-12-20).
1 Q1 2020 Calculation
Average inventory processing period = 365 ÷ Inventory turnover
= 365 ÷ 9.73 = 37
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. | Costco Wholesale Corp.’s number of days of inventory outstanding improved from Q3 2019 to Q4 2019 but then deteriorated significantly from Q4 2019 to Q1 2020. |
Average Receivable Collection Period
Costco Wholesale Corp., average receivable collection period calculation (quarterly data)
| Nov 24, 2019 | Sep 1, 2019 | May 12, 2019 | Feb 17, 2019 | Nov 25, 2018 | Sep 2, 2018 | May 13, 2018 | Feb 18, 2018 | Nov 26, 2017 | Sep 3, 2017 | May 7, 2017 | Feb 12, 2017 | Nov 20, 2016 | Aug 28, 2016 | May 8, 2016 | Feb 14, 2016 | Nov 22, 2015 | Aug 30, 2015 | May 10, 2015 | Feb 15, 2015 | Nov 23, 2014 | Aug 31, 2014 | May 11, 2014 | Feb 16, 2014 | Nov 24, 2013 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||||||||||||||||||||||
| Receivables turnover | 88.41 | 97.30 | 85.87 | 72.17 | 78.90 | 82.94 | 85.61 | 66.45 | 83.27 | 88.11 | 82.45 | 74.19 | 78.05 | 92.71 | 88.72 | 78.94 | 83.89 | 92.86 | 94.92 | 87.91 | 89.77 | 96.00 | — | — | — | |
| Short-term Activity Ratio (no. days) | ||||||||||||||||||||||||||
| Average receivable collection period1 | 4 | 4 | 4 | 5 | 5 | 4 | 4 | 5 | 4 | 4 | 4 | 5 | 5 | 4 | 4 | 5 | 4 | 4 | 4 | 4 | 4 | 4 | — | — | — | |
| Benchmarks (no. days) | ||||||||||||||||||||||||||
| Average Receivable Collection Period, Competitors2 | ||||||||||||||||||||||||||
| Home Depot Inc. | 8 | 7 | 8 | 8 | 8 | 7 | 8 | 8 | 8 | 8 | 8 | 8 | 8 | 8 | 8 | 7 | 8 | 7 | 7 | 7 | 8 | 6 | — | — | — | |
| Netflix Inc. | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | |
| TJX Cos. Inc. | 4 | 3 | 4 | 3 | 4 | 3 | 4 | 3 | 3 | 3 | 3 | 3 | 3 | 3 | 3 | 3 | 3 | 3 | 3 | 3 | 3 | 3 | — | — | — | |
| Walmart Inc. | 4 | 4 | 4 | 4 | 3 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 5 | 5 | 5 | 5 | 5 | — | — | — | |
Based on: 10-Q (filing date: 2019-12-23), 10-K (filing date: 2019-10-11), 10-Q (filing date: 2019-06-06), 10-Q (filing date: 2019-03-13), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-26), 10-Q (filing date: 2018-06-07), 10-Q (filing date: 2018-03-15), 10-Q (filing date: 2017-12-21), 10-K (filing date: 2017-10-18), 10-Q (filing date: 2017-06-01), 10-Q (filing date: 2017-03-09), 10-Q (filing date: 2016-12-16), 10-K (filing date: 2016-10-12), 10-Q (filing date: 2016-06-01), 10-Q (filing date: 2016-03-09), 10-Q (filing date: 2015-12-18), 10-K (filing date: 2015-10-14), 10-Q (filing date: 2015-06-04), 10-Q (filing date: 2015-03-11), 10-Q (filing date: 2014-12-18), 10-K (filing date: 2014-10-15), 10-Q (filing date: 2014-06-05), 10-Q (filing date: 2014-03-14), 10-Q (filing date: 2013-12-20).
1 Q1 2020 Calculation
Average receivable collection period = 365 ÷ Receivables turnover
= 365 ÷ 88.41 = 4
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. |
Operating Cycle
Costco Wholesale Corp., operating cycle calculation (quarterly data)
No. days
| Nov 24, 2019 | Sep 1, 2019 | May 12, 2019 | Feb 17, 2019 | Nov 25, 2018 | Sep 2, 2018 | May 13, 2018 | Feb 18, 2018 | Nov 26, 2017 | Sep 3, 2017 | May 7, 2017 | Feb 12, 2017 | Nov 20, 2016 | Aug 28, 2016 | May 8, 2016 | Feb 14, 2016 | Nov 22, 2015 | Aug 30, 2015 | May 10, 2015 | Feb 15, 2015 | Nov 23, 2014 | Aug 31, 2014 | May 11, 2014 | Feb 16, 2014 | Nov 24, 2013 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||||||||||||||||||||||
| Average inventory processing period | 37 | 31 | 32 | 32 | 35 | 33 | 32 | 33 | 36 | 32 | 33 | 33 | 38 | 32 | 32 | 32 | 37 | 32 | 32 | 31 | 35 | 31 | — | — | — | |
| Average receivable collection period | 4 | 4 | 4 | 5 | 5 | 4 | 4 | 5 | 4 | 4 | 4 | 5 | 5 | 4 | 4 | 5 | 4 | 4 | 4 | 4 | 4 | 4 | — | — | — | |
| Short-term Activity Ratio | ||||||||||||||||||||||||||
| Operating cycle1 | 41 | 35 | 36 | 37 | 40 | 37 | 36 | 38 | 40 | 36 | 37 | 38 | 43 | 36 | 36 | 37 | 41 | 36 | 36 | 35 | 39 | 35 | — | — | — | |
| Benchmarks | ||||||||||||||||||||||||||
| Operating Cycle, Competitors2 | ||||||||||||||||||||||||||
| Home Depot Inc. | 86 | 79 | 86 | 83 | 86 | 77 | 83 | 81 | 87 | 82 | 87 | 82 | 89 | 82 | 88 | 84 | 89 | 82 | 89 | 88 | 95 | 84 | — | — | — | |
| TJX Cos. Inc. | 69 | 63 | 77 | 64 | 65 | 63 | 75 | 61 | 60 | 59 | 72 | 65 | 66 | 64 | 78 | 67 | 64 | 60 | 74 | 64 | 62 | 58 | — | — | — | |
| Walmart Inc. | 46 | 46 | 52 | 44 | 45 | 47 | 54 | 48 | 48 | 47 | 54 | 48 | 49 | 49 | 55 | 49 | 50 | 50 | 57 | 51 | 51 | 51 | — | — | — | |
Based on: 10-Q (filing date: 2019-12-23), 10-K (filing date: 2019-10-11), 10-Q (filing date: 2019-06-06), 10-Q (filing date: 2019-03-13), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-26), 10-Q (filing date: 2018-06-07), 10-Q (filing date: 2018-03-15), 10-Q (filing date: 2017-12-21), 10-K (filing date: 2017-10-18), 10-Q (filing date: 2017-06-01), 10-Q (filing date: 2017-03-09), 10-Q (filing date: 2016-12-16), 10-K (filing date: 2016-10-12), 10-Q (filing date: 2016-06-01), 10-Q (filing date: 2016-03-09), 10-Q (filing date: 2015-12-18), 10-K (filing date: 2015-10-14), 10-Q (filing date: 2015-06-04), 10-Q (filing date: 2015-03-11), 10-Q (filing date: 2014-12-18), 10-K (filing date: 2014-10-15), 10-Q (filing date: 2014-06-05), 10-Q (filing date: 2014-03-14), 10-Q (filing date: 2013-12-20).
1 Q1 2020 Calculation
Operating cycle = Average inventory processing period + Average receivable collection period
= 37 + 4 = 41
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. | Costco Wholesale Corp.’s operating cycle improved from Q3 2019 to Q4 2019 but then deteriorated significantly from Q4 2019 to Q1 2020. |
Average Payables Payment Period
Costco Wholesale Corp., average payables payment period calculation (quarterly data)
| Nov 24, 2019 | Sep 1, 2019 | May 12, 2019 | Feb 17, 2019 | Nov 25, 2018 | Sep 2, 2018 | May 13, 2018 | Feb 18, 2018 | Nov 26, 2017 | Sep 3, 2017 | May 7, 2017 | Feb 12, 2017 | Nov 20, 2016 | Aug 28, 2016 | May 8, 2016 | Feb 14, 2016 | Nov 22, 2015 | Aug 30, 2015 | May 10, 2015 | Feb 15, 2015 | Nov 23, 2014 | Aug 31, 2014 | May 11, 2014 | Feb 16, 2014 | Nov 24, 2013 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||||||||||||||||||||||
| Payables turnover | 9.31 | 11.38 | 11.49 | 11.96 | 9.61 | 10.96 | 11.32 | 11.73 | 9.61 | 11.64 | 11.34 | 11.98 | 9.41 | 13.52 | 11.59 | 12.39 | 9.76 | 11.22 | 11.36 | 12.15 | 10.22 | 11.60 | — | — | — | |
| Short-term Activity Ratio (no. days) | ||||||||||||||||||||||||||
| Average payables payment period1 | 39 | 32 | 32 | 31 | 38 | 33 | 32 | 31 | 38 | 31 | 32 | 30 | 39 | 27 | 31 | 29 | 37 | 33 | 32 | 30 | 36 | 31 | — | — | — | |
| Benchmarks (no. days) | ||||||||||||||||||||||||||
| Average Payables Payment Period, Competitors2 | ||||||||||||||||||||||||||
| Amazon.com Inc. | — | — | 84 | 89 | 82 | 100 | 85 | 79 | 76 | 113 | 93 | 81 | 75 | 105 | 82 | 74 | 73 | 104 | 78 | 69 | 68 | 96 | — | — | — | |
| Home Depot Inc. | 52 | 40 | 48 | 50 | 53 | 40 | 48 | 49 | 53 | 41 | 48 | 50 | 53 | 41 | 46 | 49 | 53 | 39 | 47 | 50 | 55 | 41 | — | — | — | |
| Lowe’s Cos. Inc. | 86 | 62 | 71 | 70 | 81 | 53 | 72 | 71 | 83 | 57 | 70 | 70 | 82 | 53 | 70 | 69 | 79 | 51 | 65 | 63 | 73 | 52 | — | — | — | |
| Netflix Inc. | — | — | 14 | 14 | 15 | 21 | 17 | 19 | 19 | 17 | 15 | 15 | 17 | 19 | 19 | 17 | 17 | 20 | 18 | 19 | 18 | 20 | — | — | — | |
| Target Corp. | 57 | 67 | 82 | 63 | 57 | 62 | 74 | 56 | 49 | 54 | 61 | 49 | 45 | 52 | 63 | 49 | 48 | 55 | 63 | 50 | 46 | 55 | — | — | — | |
| TJX Cos. Inc. | 33 | 35 | 44 | 37 | 35 | 36 | 45 | 35 | 33 | 35 | 42 | 36 | 35 | 36 | 46 | 39 | 37 | 35 | 46 | 39 | 36 | 33 | — | — | — | |
| Walmart Inc. | 43 | 45 | 47 | 41 | 43 | 45 | 47 | 42 | 42 | 42 | 44 | 40 | 38 | 39 | 41 | 37 | 37 | 38 | 40 | 37 | 37 | 38 | — | — | — | |
Based on: 10-Q (filing date: 2019-12-23), 10-K (filing date: 2019-10-11), 10-Q (filing date: 2019-06-06), 10-Q (filing date: 2019-03-13), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-26), 10-Q (filing date: 2018-06-07), 10-Q (filing date: 2018-03-15), 10-Q (filing date: 2017-12-21), 10-K (filing date: 2017-10-18), 10-Q (filing date: 2017-06-01), 10-Q (filing date: 2017-03-09), 10-Q (filing date: 2016-12-16), 10-K (filing date: 2016-10-12), 10-Q (filing date: 2016-06-01), 10-Q (filing date: 2016-03-09), 10-Q (filing date: 2015-12-18), 10-K (filing date: 2015-10-14), 10-Q (filing date: 2015-06-04), 10-Q (filing date: 2015-03-11), 10-Q (filing date: 2014-12-18), 10-K (filing date: 2014-10-15), 10-Q (filing date: 2014-06-05), 10-Q (filing date: 2014-03-14), 10-Q (filing date: 2013-12-20).
1 Q1 2020 Calculation
Average payables payment period = 365 ÷ Payables turnover
= 365 ÷ 9.31 = 39
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. |
Cash Conversion Cycle
Costco Wholesale Corp., cash conversion cycle calculation (quarterly data)
No. days
| Nov 24, 2019 | Sep 1, 2019 | May 12, 2019 | Feb 17, 2019 | Nov 25, 2018 | Sep 2, 2018 | May 13, 2018 | Feb 18, 2018 | Nov 26, 2017 | Sep 3, 2017 | May 7, 2017 | Feb 12, 2017 | Nov 20, 2016 | Aug 28, 2016 | May 8, 2016 | Feb 14, 2016 | Nov 22, 2015 | Aug 30, 2015 | May 10, 2015 | Feb 15, 2015 | Nov 23, 2014 | Aug 31, 2014 | May 11, 2014 | Feb 16, 2014 | Nov 24, 2013 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Selected Financial Data | ||||||||||||||||||||||||||
| Average inventory processing period | 37 | 31 | 32 | 32 | 35 | 33 | 32 | 33 | 36 | 32 | 33 | 33 | 38 | 32 | 32 | 32 | 37 | 32 | 32 | 31 | 35 | 31 | — | — | — | |
| Average receivable collection period | 4 | 4 | 4 | 5 | 5 | 4 | 4 | 5 | 4 | 4 | 4 | 5 | 5 | 4 | 4 | 5 | 4 | 4 | 4 | 4 | 4 | 4 | — | — | — | |
| Average payables payment period | 39 | 32 | 32 | 31 | 38 | 33 | 32 | 31 | 38 | 31 | 32 | 30 | 39 | 27 | 31 | 29 | 37 | 33 | 32 | 30 | 36 | 31 | — | — | — | |
| Short-term Activity Ratio | ||||||||||||||||||||||||||
| Cash conversion cycle1 | 2 | 3 | 4 | 6 | 2 | 4 | 4 | 7 | 2 | 5 | 5 | 8 | 4 | 9 | 5 | 8 | 4 | 3 | 4 | 5 | 3 | 4 | — | — | — | |
| Benchmarks | ||||||||||||||||||||||||||
| Cash Conversion Cycle, Competitors2 | ||||||||||||||||||||||||||
| Home Depot Inc. | 34 | 39 | 38 | 33 | 33 | 37 | 35 | 32 | 34 | 41 | 39 | 32 | 36 | 41 | 42 | 35 | 36 | 43 | 42 | 38 | 40 | 43 | — | — | — | |
| TJX Cos. Inc. | 36 | 28 | 33 | 27 | 30 | 27 | 30 | 26 | 27 | 24 | 30 | 29 | 31 | 28 | 32 | 28 | 27 | 25 | 28 | 25 | 26 | 25 | — | — | — | |
| Walmart Inc. | 3 | 1 | 5 | 3 | 2 | 2 | 7 | 6 | 6 | 5 | 10 | 8 | 11 | 10 | 14 | 12 | 13 | 12 | 17 | 14 | 14 | 13 | — | — | — | |
Based on: 10-Q (filing date: 2019-12-23), 10-K (filing date: 2019-10-11), 10-Q (filing date: 2019-06-06), 10-Q (filing date: 2019-03-13), 10-Q (filing date: 2018-12-20), 10-K (filing date: 2018-10-26), 10-Q (filing date: 2018-06-07), 10-Q (filing date: 2018-03-15), 10-Q (filing date: 2017-12-21), 10-K (filing date: 2017-10-18), 10-Q (filing date: 2017-06-01), 10-Q (filing date: 2017-03-09), 10-Q (filing date: 2016-12-16), 10-K (filing date: 2016-10-12), 10-Q (filing date: 2016-06-01), 10-Q (filing date: 2016-03-09), 10-Q (filing date: 2015-12-18), 10-K (filing date: 2015-10-14), 10-Q (filing date: 2015-06-04), 10-Q (filing date: 2015-03-11), 10-Q (filing date: 2014-12-18), 10-K (filing date: 2014-10-15), 10-Q (filing date: 2014-06-05), 10-Q (filing date: 2014-03-14), 10-Q (filing date: 2013-12-20).
1 Q1 2020 Calculation
Cash conversion cycle = Average inventory processing period + Average receivable collection period – Average payables payment period
= 37 + 4 – 39 = 2
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. | Costco Wholesale Corp.’s cash conversion cycle improved from Q3 2019 to Q4 2019 and from Q4 2019 to Q1 2020. |