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Stock Concentration: When Healthy Days’ Supply Hides One Bad Bet

A dealership can report a healthy overall days’ supply and still have an inventory problem hiding inside it. Aggregate measures are useful because they show whether the total stock book is broadly aligned with sales velocity. But averages can conceal concentration. Too much capital can be tied to one model, one variant, one fuel type, one colour, one age bucket or one acquisition source while the total dealership number still looks comfortable. Average stock health can hide portfolio risk...