Inventory turn, also known as “stock turns” or “inventory turnover,” is a measure of the efficiency with which a company manages its inventory. It represents the number of times a company sells and replaces its stock of goods during a given period, usually a year. The higher the inventory turns, the more efficiently a company is using its inventory to meet customer demand. Inventory turn can be calculated by dividing the cost of goods sold (COGS) by the average inventory value during the same period.