Dead stock
Stock that has not been sold or used for a long time and is unlikely to be.
What it means in business
Dead stock is inventory that has stopped moving: an old design, an item for a customer who left, or an over-order. It takes up cash and space and may lose value or expire. How long counts as 'a long time' depends on the item.
Example
A factory finds 800 pieces of a part for a discontinued model that have sat for two years. They are written down or sold as scrap, and the shelf is freed. This is an illustration of normal business use rather than a quoted case study.
How to use it correctly
Run an ageing report on stock, flag items with no movement for a set period, and decide for each whether to sell, return, rework, use elsewhere or write off. Fix the cause, such as ordering in large lots.
Common confusion
Dead stock is not the same as slow-moving stock, which still moves, only slowly. And writing it off is an accounting decision with tax effects, so involve your accountant.
Related glossary terms
Written on 24 October 2026 for lamp. Confirm the current rules with the official source or an adviser before relying on it.