Learn › Signals / technical / historical read-outs
Compared With Its Own Industry
The same number can be perfectly normal in one industry and alarming in another, so we compare a company against the middle company in its own sector rather than against one fixed rule for everybody.
Example
Property developers hold land for years, so their typical stock sits unsold for about 1,339 days — against roughly 177 days for a medicine maker. Judged by a single rule, every developer would look alarming.
Worth knowing
Context for reading a number, not a verdict. Being better than the industry does not make a company good, only more usual for its trade.