DNOW Stock Analysis: Now | NYSE
Industrial Distribution | NYSE, USA | Market Cap: 2.835m USD | 12M Return: 3.5% | US67011P1003 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 37.5M
EPS Trend: -66.5%
Qual. Beats: 0
Rev. Trend: 78.4%
Qual. Beats: 2
Warnings
Tailwinds
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
DNOW Inc. is a Houston-based distributor of pipe, valves, fittings, and pumps serving customers in the United States, Canada, and international markets. The company supplies a broad range of products including flanges, gaskets, fasteners, electrical and instrumentation equipment, artificial lift and pumping systems, process and production equipment, MRO consumables, personal protective equipment, and vapor recovery systems marketed under the EcoVapo brand. It also distributes OEM equipment such as pumps, generator sets, air compressors, and valves, and provides modular oil and gas wellsite facility solutions.
Beyond product distribution, DNOW offers a wide suite of supply chain services, including inventory planning, integrated supply, just-in-time delivery, on-site commissioning, valve inspection and repair, pressure testing, and after-market field repair and rental of mobile pumping units. Its customer base spans the upstream, midstream, gas utilities, downstream, and industrial end-markets, including crude oil refining, petrochemicals, chemicals, general industrials, pharmaceuticals, mining, water and wastewater treatment, data centers, LNG, and renewable natural gas facilities. The company was founded in 1862 and was renamed from NOW Inc. to DNOW Inc. in January 2024.
DNOW operates within the Trading Companies & Distributors sub-industry of the Industrials sector, functioning as a value-added distributor that combines physical product sales with technical support, supply chain management, and aftermarket services rather than manufacturing its own products.
- US shale rig count recovery boosts upstream product demand
- Industrial sales accelerate from LNG and data center buildouts
- Distribution margins expand on pricing power and supplier terms
| Net Income: -187.0m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.04 > 0.02 and ΔFCF/TA -9.08 > 1.0 |
| NWC/Revenue: 27.58% < 20% (prev 26.00%; Δ 1.58% < -1%) |
| CFO/TA 0.04 > 3% & CFO 164.0m > Net Income -187.0m |
| Net Debt/EBITDA: error (EBITDA <= 0) |
| Current Ratio: 2.14 > 1.5 & < 3 |
| Outstanding Shares: last quarter (182.0m) vs 12m ago 71.70% < -2% |
| Gross Margin: 15.90% > 18% (prev 22.92%; Δ -7.02% > 0.5%) |
| Asset Turnover: 149.1% > 50% (prev 144.7%; Δ 4.36% > 0%) |
| Interest Coverage Ratio: error (cannot be calculated; needs correct EBIT TTM and Interest Expense TTM) |
| A: 0.30 (Total Current Assets 2.12b - Total Current Liabilities 991.0m) / Total Assets 3.82b |
| B: -0.24 (Retained Earnings -901.0m / Total Assets 3.82b) |
| C: -0.08 (EBIT TTM -213.0m / Avg Total Assets 2.74b) |
| D: 1.22 (Book Value of Equity 2.10b / Total Liabilities 1.72b) |
| Altman-Z'' = 1.93 = BBB |
| DSRI: 1.19 (Receivables 889.0m/440.0m, Revenue 4.08b/2.40b) |
| GMI: 1.44 (GM 22.92% / 15.90%) |
| AQI: 1.32 (AQ_t 0.34 / AQ_t-1 0.26) |
| SGI: 1.70 (Revenue 4.08b / 2.40b) |
| TATA: -0.09 (NI -187.0m - CFO 164.0m) / TA 3.82b) |
| Beneish M = -1.79 (Cap -4..+1) = B |
As of October 24, 2026, the stock is trading at USD 15.69 with a total of 1,650,589 shares traded. Over the past week, the price has changed by +0.06%, over one month by -0.13%, over three months by +8.96% and over the past year by +3.50%.
Current recommended Stop Loss: 14.70 (which is 6.3% or 1.8 ATR below the current price).
Now has received a consensus analysts rating of 4.50. Therefore, it is recommended to buy DNOW.
- StrongBuy: 3
- Buy: 0
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 18.8 | 19.5% |
P/E Forward = 29.7619
P/S = 0.6943
P/B = 1.357
Revenue TTM = 4.08b USD
EBIT TTM = -213.0m USD
EBITDA TTM = -136.0m USD
Long Term Debt = 474.0m USD (from longTermDebt, last quarter)
Short Term Debt = 48.0m USD (from shortTermDebt, last quarter)
Debt = 788.0m USD (from shortLongTermDebtTotal, last quarter) + Leases 157.0m
Net Debt = 674.0m USD (calculated: Debt 788.0m - CCE 114.0m)
Enterprise Value = 3.51b USD (2.83b + Debt 788.0m - CCE 114.0m)
Interest Coverage Ratio = unknown (Ebit TTM -213.0m / Interest Expense TTM 0.0)
EV/FCF = 25.80x (Enterprise Value 3.51b / FCF TTM 136.0m)
FCF Yield = 3.88% (FCF TTM 136.0m / Enterprise Value 3.51b)
FCF Margin = 3.33% (FCF TTM 136.0m / Revenue TTM 4.08b)
Net Margin = -4.58% (Net Income TTM -187.0m / Revenue TTM 4.08b)
Gross Margin = 15.90% ((Revenue TTM 4.08b - Cost of Revenue TTM 3.43b) / Revenue TTM)
Gross Margin QoQ = 18.59% (prev 16.31%)
Tobins Q-Ratio = 0.92 (Enterprise Value 3.51b / Total Assets 3.82b)
Interest Expense / Debt = 0.0% (Interest Expense 0.0 / Debt 788.0m)
Taxrate = 21.0% (US federal default 21%)
NOPAT = -168.3m (EBIT -213.0m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 2.14 (Total Current Assets 2.12b / Total Current Liabilities 991.0m)
Debt / Equity = 0.38 (Debt 788.0m / totalStockholderEquity, last quarter 2.10b)
Debt / EBITDA = -4.96 (negative EBITDA) (Net Debt 674.0m / EBITDA -136.0m)
Debt / FCF = 4.96 (Net Debt 674.0m / FCF TTM 136.0m)
Total Stockholder Equity = 1.92b (last 4 quarters mean from totalStockholderEquity)
RoA = -6.83% (Net Income -187.0m / Total Assets 3.82b)
RoE = -9.76% (Net Income TTM -187.0m / Total Stockholder Equity 1.92b)
RoCE = -8.91% (EBIT -213.0m / Capital Employed (Equity 1.92b + L.T.Debt 474.0m))
RoIC = -6.10% (negative operating profit) (NOPAT -168.3m / Invested Capital 2.76b)
WACC = 6.84% (E(2.83b)/V(3.62b) * Re(8.74%) + D(788.0m)/V(3.62b) * Rd(0.0%) * (1-Tc(0.21)))
Discount Rate = 8.74% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 79.56 | Cagr: 26.44%
[DCF] Terminal Value 73.10% ; FCFF base≈165.6m ; Y1≈145.2m ; Y5≈117.3m
[DCF] Fair Price = 6.69 (EV 1.88b - Net Debt 674.0m = Equity 1.21b / Shares 180.8m; r=8.35% [WACC [floored]]; 5y FCF grow -15.0% → 2.50% )
EPS Correlation: -66.49 | EPS CAGR: -12.45% | SUE: 0.78 | # QB: 0
Revenue Correlation: 78.35 | Revenue CAGR: 17.28% | SUE: 0.97 | # QB: 2
EPS current Quarter (2026-09-30): EPS=0.15 | Chg30d=+0.00% | Revisions=+40% | Analysts=5
EPS current Year (2026-12-31): EPS=0.35 | Chg30d=+0.00% | Revisions=+38% | GrowthEPS=-59.8% | GrowthRev=+79.7%
EPS next Year (2027-12-31): EPS=0.82 | Chg30d=+0.00% | Revisions=+29% | GrowthEPS=+138.2% | GrowthRev=+7.0%
[Analyst] Revisions Ratio: +50% (up=9, down=2)