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Burlington Stores, Inc. operates as a retailer of branded merchandise in the United States and Puerto Rico. The company offers fashion-focused merchandise, including women’s ready-to-wear apparel, men...
The following section summarizes insights on Burlington Stores Inc's Cash Conversion Cycle:
We've identified the following companies as similar to Burlington Stores Inc because they operate in a related industry or sector. We also considered size, growth, and various financial metrics to narrow down the list to the ones listed below.
To view the full list of supported financial metrics please see Complete Metrics Listing.
Metrics similar to Cash Conversion Cycle in the efficiency category include:
A metric that compares the amount of days it takes a company to sell inventory and collect receivables relative to the amount of days afforded to pay ...
Cash Conversion Cycle is defined as:
(+) Days Inventory Outstanding
(+) Days Sales Outstanding
(-) Days Payables Outstanding
(=) Cash Conversion Cycle
Cash Conversion Cycle for Burlington Stores is calculated as follows:
(+) Days Inventory Outstanding [ 71 days ]
(+) Days Sales Outstanding [ 3 days ]
(-) Days Payables Outstanding [ 60 days ]
(=) Cash Conversion Cycle [ 13 days ]
The tables below summarises the trend in Burlington Stores’s inventory turnover over the last five years:
Fiscal Year | Days Inventory Outstanding | Days Sales Outstanding | Days Payables Outstanding | Cash Conversion Cycle |
---|---|---|---|---|
2021-01-30 | 78 days | 5 days | 83 days | 0 days |
2022-01-29 | 59 days | 2 days | 65 days | −4 days |
2023-01-28 | 78 days | 3 days | 72 days | 8 days |
2024-02-03 | 74 days | 3 days | 62 days | 14 days |
2025-02-01 | 71 days | 3 days | 60 days | 13 days |
Cash Conversion Cycle is a metric that compares the amount of days it takes a company to sell inventory and collect receivables relative to the amount of days afforded to pay bills. It attempts to measure the time between the outflow and inflow of cash in the sales cycle.
For example, many companies buy inventory on credit as well as sell products on credit. These actions would increase the company’s Accounts Payable liability and Accounts Receivable asset, respectively. However, cash has not yet been involved in these transactions until the company actually pays its Accounts Payables or collects its Accounts Receivables. The Cash Conversion Cycle attempts to measure the time between these cash outflows and inflows.
A negative figure suggests a company is able to receive payments for product sales before having to pay suppliers. This is good for Net Working Capital and free cash flow.
Read more about days inventory outstanding, days sales outstanding, and days payables outstanding
The chart above depicts the distribution of cash conversion cycle for companies operating in the Consumer Discretionary sector in the Developed economic region. Over 2,460 companies were considered in this analysis, and 2,370 had meaningful values. The average cash conversion cycle of companies in the sector is 78 days with a standard deviation of 133 days.
Burlington Stores Inc's Cash Conversion Cycle of 13 days ranks in the 31.4% percentile for the sector. The following table provides additional summary stats:
Economic Risk Region | Developed |
Total Constituents | 2,467 |
Included Constituents | 2,370 |
Min | -478 days |
Max | 780 days |
Median | 56 days |
Mean | 78 days |
Standard Deviation | 133 days |
You can find companies with similar cash conversion cycle using this stock screener.