Inventory Turnover Calculator
Free inventory turnover calculator. Calculate turnover ratio, days in inventory, stock-to-sales ratio, and GMROI with industry comparisons.
$
$
$
$
5.56×
times/year
66 days
$90,000
Below Average
vs General Retail
Industry Comparison
Your Turnover5.56×
Industry Average (General Retail)8×
Your Days66 days
Industry Days46 days
Calculation Breakdown
Beginning Inventory$80,000
+ Ending Inventory$100,000
÷ 2 = Average Inventory$90,000
Cost of Goods Sold$500,000
COGS ÷ Avg Inventory = Turnover5.56×
365 ÷ Turnover = Days66 days
Inventory Management Tips
- Higher turnover: Better cash flow, less storage costs, fresher inventory
- Lower turnover: May indicate overstocking or slow-moving items
- Too high: Risk of stockouts and lost sales
- GMROI > 1: Inventory is generating positive returns
- Compare to your industry benchmark for meaningful context
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