Manufacturing inventory turnover.

Where the 7.5x median comes from

The 7.5x figure is the cross-firm median for manufacturing as of 2026-06-20, derived from the U.S. Census M3 Manufacturers Shipments, Inventories, and Orders. Top-quartile operators in this category clear 11.0x; the bottom quartile sits at 5.0x.

At the median, average inventory equals roughly 49 days of cost of goods sold. A business under bank-covenant review should compare its trailing-twelve-month ratio against this median first, then against the 11.0x top-quartile mark before setting a working-capital target.

Benchmark band

The band below plots a hypothetical 7.5x ratio against the industry axis. Colour bands flag whether a result is within fifteen percent of the median (caution), above it (healthy), or more than fifteen percent below it (risk).

Five-year trend

The manufacturing median has moved from 7.0x in the earliest comparable year to 7.5x in the latest pull, a gradual lift of 0.5 turns.

How to use this number

• Pull trailing-twelve-month COGS and the matching average inventory balance from the GL.
• Compute your turnover with the calculator on the homepage. Select the Manufacturing benchmark.
• If your ratio is below 7.5x by more than fifteen percent, start the playbook at diagnose low turnover.
• If you sit above 11.0x, confirm stock-out frequency before declaring victory. See high vs low turnover.

Try the calculator with the Manufacturing benchmark